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Overview

ICBC Turkey contributes to €155 million syndicated loan for Kütahya Integrated Health Campus PPP in Turkey

Commitments (Constant USD, 2023)$38,542,754
Commitment Year•2022Country of Activity•TurkeyDirect Recipient Country of Incorporation•TurkeyOverseas Jurisdiction•TurkeySector•HealthFlow Type•Loan

Status

Project lifecycle

Implementation

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Aug 25, 2022
Last repayment (originally scheduled)
Aug 22, 2032

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned Commercial Banks

  • ICBC Turkey Bank A.Ş.

Cofinancing agencies

Private Sector

  • Türkiye İş Bankası (İşbank)
  • Türkiye Sinai Kalkinma Bankasi [Industrial Development Bank of Turkey] (TSKB)

State-owned Banks

  • Türkiye Ziraat Bankası A.Ş. (Ziraat Bank)

Receiving agencies

Joint Venture/Special Purpose Vehicles

  • Dumlupınar Sağlık Hizmetleri Anonim Şirket

Loan description

ICBC Turkey contributes to €155 million syndicated loan for Kütahya Integrated Health Campus PPP in Turkey

Grant element•19.0799%Interest rate (t₀)•4.484%Interest type•Variable Interest RateMaturity•10 years

Narrative

Full Description

Project narrative

On August 25, 2022, ICBC Turkey joined a consortium of Turkish banks in providing a €155 million syndicated loan to Dumlupınar Sağlık Hizmetleri Anonim Şirketi, a special-purpose vehicle responsible for developing and operating the Kütahya Integrated Health Campus under a public-private partnership (PPP) model. The project involves the design, construction, and operation of a 610-bed hospital complex (known as Kütahya Şehir Hastanesi) in Kütahya, Turkey. The financing package includes contributions from Türkiye İş Bankası A.Ş., Türkiye Sınai Kalkınma Bankası A.Ş. (TSKB), Ziraat Bankası A.Ş., and ICBC Turkey Bank A.Ş. Clifford Chance and GKC Partners served as legal counsel to the lenders, while Ergun Law advised the borrower. ICBC Turkey acted as one of the Mandated Lead Arrangers. The project reached financial close in August 2022. This syndicated loan follows an earlier EUR 15 million bridge loan provided by ICBC Turkey in 2019 to the same SPV.

Staff comments

1. ICBC Turkey’s contribution is estimated at €38.75 million based on an equal division of the €155 million loan across four lenders. 2. This is a follow-on financing to an earlier EUR 15 million bridge loan signed by ICBC Turkey in 2019 (record ID #92346). 3. Margin, tenor, and other terms are inferred from typical Turkish PPP deals.