VakıfBank Secures $870 Million Syndicated Loan

VakıfBank (IS: VAKBN) secured a sustainability-themed syndication loan amounting to a total of 870 million dollars, consisting of 518.5 million dollars and 331.4 million euros, with the participation of 45 banks from 25 countries. According to the bank's statement, the dollar cost of the 367-day loan is SOFR + 1.75%, while the euro cost is Euribor + 1.50%.

VakıfBank has continued to maintain its leading position in the banking sector regarding international markets and sustainability-themed financing through the resources it has acquired from abroad. Most recently, it successfully completed a sustainability-themed syndication transaction totaling 870 million dollars with a maturity of 367 days.

Since the beginning of the year, VakıfBank has raised new resources amounting to 10.2 billion dollars from international markets and has managed to renew its second syndication loan of the year by 133%. Commenting on the transaction, VakıfBank General Manager Abdi Serdar Üstünsalih stated, "This transaction demonstrates our bank's commitment to sustainable financing goals and the confidence in our country in international markets once again. We received a total demand of nearly 1.1 billion dollars for this transaction, and in response, we renewed our syndication loan with an amount equivalent to 870 million dollars. Specifically, the increase in the number of participating banks from 8 to 15 this year compared to the same period last year clearly displays the success of this transaction and VakıfBank's strong position in the international arena. Additionally, 12 new banks that were not part of the transaction last year from a wide geography including the Middle East, Far East, Europe, Asia, and Africa also participated." Üstünsalih emphasized that the loan cost decreased by 75 basis points compared to the May 2024 period, settling at SOFR + 1.75% for the dollar segment and Euribor + 1.50% for the euro segment.

"With this transaction, the total amount of our sustainability-themed syndication loans has reached 1.8 billion dollars. Thus, our bank has become the one with the highest amount of foreign borrowing, while also being one of the banks with the highest syndication balance," said Üstünsalih, adding, "In this regard, our leading position in international funding has once again been confirmed. I would like to express my gratitude once again to all the correspondent bank representatives who supported and showed great interest in our transaction."

Üstünsalih noted that VakıfBank has been emphasizing the sustainability theme in its syndication loans for the past four years and concluded his remarks as follows: "As a pioneering bank that leads the sector in sustainability and has signed many principles, we have fully aligned the syndication transactions we conducted this year with our Sustainable Finance Framework. By channeling the international funds we provide into environmentally and socially themed credit products, we are not only committed to financial success but also to leading towards a sustainable future. In the upcoming periods, we will continue to diversify our products in the field of sustainable financing by closely following international developments and maintain our pioneering position among Turkish banks."