Akbank T.A.Ş signs a US$ 700mln equiv. ESG-Linked Syndicated Term Loan Facilities on 12 April 2022

Dubai, UAE: Akbank T.A.Ş (“Akbank” or the “Bank”), the leading private sector bank in Turkey, is pleased to announce the successful signing of its 367-day US$342,500,000 and €329,300,000 Sustainability Linked Term Loan Facilities on 12 April 2022.

Proceeds of the facilities will be utilized for Akbank’s trade finance purposes, including refinancing of the existing debt. The Facilities include sustainability-linked margin adjustments whereby the Margin will be determined according to Akbank’s performance against the selected KPIs over the life of the Facilities.

The Facilities incorporate two KPIs pertaining to replacement of Credit PVC cards with rPVC cards and electricity consumption from renewable sources which are aligned to Akbank’s overall sustainability strategy.

Despite of market volatility amid geo-political conditions, the transaction received a strong response from the market, receiving an oversubscription over the initial size of US$660mn, representing a rollover ratio of 1.08x. Owing to oversubscription, Akbank choose to close the facilities at US$700mn.

Transaction is joined by 32 institutions across the world, including from North America, Western Europe, Asia and the Middle East. The success of the deal underscores the strength of Akbank’s banking relationships and credit strength as well as the market’s acknowledgement of Akbank’s sustainability efforts.

Abu Dhabi Commercial Bank PJSC, Bank of America, Emirates NBD Capital Limited, ICBC Turkey Yatırım Menkul Değerler A.Ş. and Standard Chartered Bank acted as Joint Coordinators & Bookrunners on the transaction.

Bank of America also acted as Documentation Agent, and Mizuho Bank acted as Facility Agent.

Banks

Coordinators

Abu Dhabi Commercial Bank PJSC, Bank of America, Emirates NBD Capital Limited, ICBC Turkey Yatırım Menkul Değerler A.Ş. and Standard Chartered Bank

Sustainability Coordinators

Bank of America, Emirates NBD Capital Limited and Standard Chartered Bank

Bookrunners & Mandated Lead Arrangers:

Abu Dhabi Commercial Bank PJSC, Bank of America, Emirates NBD Capital Limited, ICBC Turkey Yatırım Menkul Değerler A.Ş., Standard Chartered Bank, Citibank N.A., London Branch, Deutsche Bank AG, London Branch, ING Bank N.V., J.P. Morgan Securities plc, Mizuho Bank, Ltd., SOCIETE GENERALE, Sumitomo Mitsui Banking Corporation, London Branch

Lead Arrangers

BNP Paribas, Commerzbank Aktiengesellschaft, Filiale Luxemburg, HSBC Bank Middle East Limited, mBank S.A., MUFG Bank, Ltd.

Arrangers

ABC International Bank plc, Bank of China Limited, Grand Cayman Branch, Barclays Bank PLC, Bper Bank Luxembourg S.A., CaixaBank, S.A., Credit Suisse AG, London Branch, Doha Bank Q.P.S.C., DZ Bank AG, Goldman Sachs International Bank, HBL Bank UK Ltd, Habib Bank Limited, Bahrain (Wholesale Branch), Mashreqbank psc, Morgan Stanley Senior Funding, Inc., Union De Banques Arabes ET Françaises (UBAF), Zürcher Kantonalbank

-Ends-

About Akbank

Akbank is one of the leading banks in Turkey with USD 57 billion consolidated assets as of YE 2021. Incorporated in 1948, the bank is 48.8% owned by H.Ö. Sabancı Holding, affiliated Institutions and Individuals, and 51.2% free float.

Akbank continues to provide unrivalled financial solutions to its customers leveraging its superior capital buffers, effective asset & liability management, diversified funding base, strong liquidity, best-in-class efficiency, prudent risk management and cutting-edge infrastructure together with its subsidiaries Akbank AG, Ak Asset Management, Ak Investment, Ak Lease, and AkÖde.

The bank serves its 19.6 million consumer and corporate clients with a strong and extensive distribution network that utilizes both traditional and digital channels through: