Zülfikarlar Holding

222 million dollars of loan given to Zülfikarlar Holding

Zülfikarlar Holding, one of the leading corporations of Turkey and Türkiye İş Bankası, Türkiye Sınai Kalkınma Bankası and European Bank of Restructuring and Development created a consortium and signed a loan agreement, a process coordinated by the investment consultant company İş Yatırım. The loan was regarded as an indicator of trust not only in Zülfikarlar Holding itself but also in the overall Turkish economy.

16th February 2016, Istanbul. Zülfikarlar Holding, a leading actor in fuel distribution, chemical, finance and energy sectors has achieved an important success. Zülfikarlar Holding, Türkiye İş Bankası, Türkiye Sınai Kalkınma Bankası and European Bank of Restructuring and Development created a consortium and signed a loan agreement, a process coordinated by the investment consultant company İş Yatırım. The total value of the loan is 222 million USD, 92 million UDS of which is mobilized as buyout loan. Zülfikarlar Holding is going to use the 92 million USD borrowed from Türkiye İş Bankası, Türkiye Sınai Kalkınma Bankası and the EBRD to complete the acquisition process of TP Petrol Dağıtım Å.Ş. which began in 2017. The remaining amount borrowed from Türkiye İş Bankası and Türkiye Sınai Kalkınma Bankası will be used to strengthen the financial position of the company.

The participation of the European Bank of Restructuring and Development in the consortium was regarded as an indicator of trust both in Zülfikarlar Holding itself and in the future of Turkish economy at global level.

“A very important milestone in our vision for growth” 

Zülfikarlar Holding Chairman of the Board, İsfendiyar Zülfikari, delivered a speech at the ceremony and remarked:

“In all the sectors that we have operated so far, we marched towards goals aimed at achieving sustainable growth and creating more added value. We have ambitious investment projects and growth targets in our pipeline, which we will share with you one by one in the days and weeks to come. The loan agreement we are signing today does indeed constitute one of those growth steps.

After emphasizing the importance of the loan not only for Zülfikarlar Holding but also for Turkey, Zülfikari stated:

“Undoubtedly, as much as this loan signifies the trust placed in the corporate and business performance and the future of Zülfikarlar Holding, it also demonstrates the confidence in our country’s economy and its future. This confidence is a clear demonstration that the ambitious investment decisions our Group has taken for the future are the right decisions. The loan is a very important milestone for us in our vision for growth; it is going to give great impetus to our operations. Our goal is to utilise this loan in the most effective way possible.”

Banks Rally in their Support for Zülfikarlar Holding!

At his ceremonial speech, Türkiye İş Bankası Assistant General Manager Murat Bilgiç said: “Since 1980s, privatization has been an important mechanism to restructure the economy and create competitive market conditions within the framework of structural adjustment and stabilization policies. It still maintains its importance today. The privatization of Türkiye Petrolleri Petrol Dağıtım A.Ş., one of the pioneering fuel distribution companies in our country, is a pivotal milestone in an industry where the number of acquisitions and mergers is relatively limited. İş Bankası will always be very pleased to play a role in the financing of investments such as the privatization of Türkiye Petrolleri Petrol Dağıtım A.Ş., which will generate economic value for our county”.

Speaking during the signature ceremony, General Manager of TSKB, Suat İnce remarked: “Since 1950, we, at TSKB, have been working diligently to support the development of the private sector. Today we are gathered here to sign a loan agreement and finalize the acquisition process of Türkiye Petrolleri by Zülfikarlar Holding, which was approved by the Higher Board of Privatization last year. We wish the funding extended by Türkiye İş Bankası, European Bank of Restructuring and Development and TSKB will benefit all the stakeholders in this project, as well as the Turkish economy.

Country Manager of European Bank of Restructuring and Development (EBRD) Arvid Tuerkner said; “We are proud to support this important step for the Turkish fuel retail sector. The successful privatisation will send a signal to the market about Turkey’s continuing commitment to private sector development and support. Combining the strength of the two fuel distributors should eventually benefit customers thanks to increased competition”

Creating value for Turkey for 76 years!

Zülfikarlar Holding set out on its corporate journey in 1942 by trading chemical products and has been growing through its investments in different industries for the last 76 years. With its operations in fuel distribution, energy, chemical and finance sectors, the Holding has become one of the pioneering corporations in Turkey.

In fuel distribution sector, it operates under the brand name Türkiye Petrolleri and Turkuaz Petrol, in renewable energy under Tesla Enerji, in chemicals, Zülfikarlar Kimyevi and Akça brands and in finance sector under the brand name Akdeniz Faktoring.

In 2017, leaving behind all its competitors throughout the privatisation process of Türkiye Petrolleri, the Group was able to acquire one of the most valuable fuel distribution companies in Turkey. With nearly 400 stations, LPG and fuel storage and supply facilities, Türkiye Petrolleri - TP Petrol Dağıtım A.Ş is one of the biggest companies in its sector and thus this acquisition has given a significant growth impetus to the Group. Türkiye Petrolleri and Turkuaz Petrol, with their more than 700 gas stations, rank the 6th in the sector in which 100 distribution companies operate.