ICBC contributes EUR 90.75 million to an EUR 494.5 million syndicated loan for the Bilkent Laboratory PPP Project

Project narrative

On December 28, 2017, CCN Laboratuvar Hizmetleri ve Yonetim A.S. (CCN Medical Research Center Turkey) — a special purpose vehicle and wholly owned subsidiary of CCN Yatirim Holding A.S., Turkey — signed an EUR 711 million ($856 million) syndicated debt financing package with a group of 12 lenders for the Bilkent Laboratory PPP Project. 10 of these lenders contributed EUR 529.5 million: Black Sea Trade and Development Bank (EUR 65 million), EBRD (EUR 75 million), Siemens Bank (EUR 14.5 million), UniCredit Intesa Sanpaolo ICD (EUR 35 million), Islamic Development Bank (EUR 175 million), Oesterreichische Entwicklungsbank AG (EUR 30 million), ECO Trade and Development Bank (EUR 15 million), Islamic Corporation for the Development of the Private Sector (EUR 25 million), Finansbank A.Ş, Ankara Branch (EUR 75 million), OPEC Fund for International Development (EUR 20 million). Vakif Katilim Bankasi (VKB) and the Industrial and Commercial Bank of China (ICBC) contributed an estimated EUR 90.75 million each. The loans that were issued carried 15-year maturities (corresponding to the length of the concession term) and an interest rate of EURIBOR plus a 3.5% margin. The other borrowing terms of the loans that were issued are unknown. The purpose of this Public Private Partnership (PPP) project was to design, finance, construct, operate and transfer a medical research center — with 4 different biosafety level laboratories — in the district of Bilkent and the province of Ankara. The concession holder is responsible for supplying and maintaining the research laboratories. Research services are to be conducted by Turkey’s Ministry of Health. DiA Construction and Siemens Healthineers were responsible for project implementation. This project reached implementation. However, its precise commencement date is unknown. The medical research center began operations in February 2019.