SACE, the Italian export credit insurance and financial services Group has celebrated today the opening of its new office in Istanbul with the event “Driving your ambitions in Turkey and the Middle East” at the Istanbul Modern Museum.
“With the opening of a Representative Office in Istanbul, SACE strengthens its commitment to this important market for Italian exports and investment – declared Giovanni Castellaneta, Chairman of SACE –. Italy is one of the top five investors, with over 780 companies active in a wide range of industries in the Turkish market. Our new office in Istanbul will expand business opportunities also in the Middle East, where Turkey holds a strategic position”.
In front of an audience of companies, banks and institutions, Giampaolo Scarante, the Italian Ambassador to Turkey and Mr. Castellaneta opened the event with a welcoming address, followed by technical presentations by Raoul Ascari, Chief Operating Officer of SACE and Michal Ron, Head of SACE International Relations and Network.
“Our business ties with Turkey have become more and more solid through the years. More than one hundred transactions have been guaranteed by SACE in the past two years, mostly with SMEs – explained Mr. Ascari -. With an overall exposure of € 2.4 billion, Turkey is the second country in SACE’s portfolio. We are currently working on a € 1.5 billion pipeline of new projects, in energy, transportation, oil&gas, chemical and petrochemical. We are also evaluating transactions in liras with local banks.”
The office will act as a regional hub for Turkey and neighbouring Middle East markets (i.e. Iraq, Syria, Jordan). “The presence of a permanent SACE representation in Istanbul will improve our reach and our effectiveness in assisting Italian exporters and their local partners in the area – said Mrs. Ron –, building on the co-operation agreement with among others the Investment Support and Promotion Agency of Turkey (ISPAT) and with the TBI, Trade Bank of Iraq. The office will be run by Marco Ferioli.”
SACE’s key transactions in Turkey
A financially solid global player like SACE has a crucial role in sustaining businesses and banks that operate in Turkey.
MMK-Atakas (2009): SACE guaranteed a € 385 million loan for the supply provided by the Italian company Danieli for the construction of a steel plant in the industrial areas of Iskendreun and Kocaeli. The project, worth about $ 1.7 billion, will be implemented by the Russian group MMK and the Atakas group. The transaction was awarded with the European Metals Deal of the Year 2009.
Ilci Insaat Sanayi ve Ticaret (2009): with a € 13 million commitment, SACE insured the supply of excavation equipment by the Italian company SELI to the Turkish company.
Türk Otomobil Fabrikasi, TOFAS (2008): SACE, the European Investment Bank (EIB) and a pool of banks closed a € 450 million financing facility for TOFAS to finance a new assembly line in TOFAS’ Bursa plant. The production of a new light commercial vehicle is aimed at the European markets under FIAT and TOFAS brands. A € 120 million facility was fully guaranteed by SACE to enable TOFAS to obtain longer financing tenors and attractive financing terms.
Yapi ve Kredit (2006): SACE guaranteed a medium-long term loan of € 100 million to Yapi ve Kredi, one of the largest financial institutions in Turkey, in which Unicredit Group holds a significant equity interest.
