(Provides particulars on airport, supply on doable refinancing quantity, banks)
By Ceyda Caglayan, Orhan Coskun and Can Sezer
ISTANBUL, Nov 5 (Reuters) – Turkey’s Istanbul Airport operator IGA mandated London-based Dome Group for the refinancing of loans it took out for the funding, the corporate instructed Reuters on Tuesday.
The mandate was geared toward decreasing the financing prices of the airport undertaking, IGA mentioned in an announcement.
“The undertaking’s threat construction is just not the identical as that within the building interval anymore. We’re speaking a few very severe financial worth,” it mentioned, declining to present an quantity for the refinancing efforts.
Istanbul Airport, which Ankara has mentioned would be the world’s largest, opened in October 2018 with flights to restricted locations. After a number of delays, it reached full capability in April.
A supply near the matter instructed Reuters the quantity to be refinanced may attain as much as 5 billion euros ($5.6 billion), and added that Dome would begin talks with banks in coming weeks.
“On this assembly, it’s going to get hold of contributors for the syndication,” the supply mentioned, including that it’s anticipated to have a low rate of interest. “A syndication that may give IGA vital respiratory room is anticipated.”
IGA, a consortium that additionally oversaw the development of the airport, had taken out a four.5-billion euro mortgage for the undertaking with a 16-year maturity and a four-year grace interval on the precept quantity.
Complete funding within the undertaking was predicted to be 6 billion euros and IGA later borrowed one other 1 billion euros for added financing.
IGA now consists of Kalyon, Cengiz, Mapa and Limak building corporations. Kolin, which was beforehand concerned, transferred its shares to the opposite companions earlier this yr.
Ziraat Financial institution, Halkbank, Vakifbank, Denizbank, Garanti BBVA and Finansbank have been among the many lenders that gave the mortgage.
$1 = zero.9000 euros
Writing by Ezgi Erkoyun; Enhancing by Daren Butler and Jonathan
Spicer
