Baker & McKenzie LLP
Baker & McKenzie LLP
06/08/2024 | Press release | Distributed by Public on 06/08/2024 11:29
Baker McKenzie advises Erdemir on its issuance of USD 950 million 8.375% senior notes due 2029
Leading global law firm, Baker McKenzie has advised Türkiye's largest steel producer, Ereğli Demir ve Çelik T.A.Ş. ("Erdemir"), on its debut Eurobond issuance. The team was led by Baker McKenzie partners Megan Schellinger and Rob Mathews (London) and Muhsin Keskin from Esin Attorney Partnership (Istanbul) and included Baker McKenzie senior associate Maxim Khrapov and associate Henry Gee (London) and senior associate Zeki Cebe, associate Ece Günel and trainee Semih Aktaș from Esin Attorney Partnership (Istanbul).
Erdemir successfully executed its first Eurobond issuance, garnering demand from over 130 international institutional funds and saw demand that exceed USD 2 billion for an issuance size of USD 750 million. The issuance, structured under Regulation S and Rule 144A, was priced at 8.375%. Erdemir later tapped its USD 750 million issuance for a further USD 200 million, bringing the total size of the transaction to USD 950 million. The transaction was the largest single-tranche issuance by a Turkish corporate issuer.
The transaction followed on from Baker McKenzie's advice on transactions for Türkiye Sovereign Wealth Fund, Ülker Bisküvi and Akbank earlier in the year, demonstrating the firm's strength in the Turkish capital markets.
Commenting on the transaction, Baker McKenzie Corporate Partner, Megan Schellinger, who led the transaction, said: "We are pleased to have been able to support Erdemir on their debut Eurobond issuance, which demonstrates the continuing strong demand for Turkish bonds. Our team's involvement in an increasing number of deals in Türkiye, both on the issuer and the bank sides, covenanted and uncovenanted, is a testament to our deep knowledge of the Turkish market and our debt capital markets capabilities."
Erdemir successfully executed its first Eurobond issuance, garnering demand from over 130 international institutional funds and saw demand that exceed USD 2 billion for an issuance size of USD 750 million. The issuance, structured under Regulation S and Rule 144A, was priced at 8.375%. Erdemir later tapped its USD 750 million issuance for a further USD 200 million, bringing the total size of the transaction to USD 950 million. The transaction was the largest single-tranche issuance by a Turkish corporate issuer.
The transaction followed on from Baker McKenzie's advice on transactions for Türkiye Sovereign Wealth Fund, Ülker Bisküvi and Akbank earlier in the year, demonstrating the firm's strength in the Turkish capital markets.
Commenting on the transaction, Baker McKenzie Corporate Partner, Megan Schellinger, who led the transaction, said: "We are pleased to have been able to support Erdemir on their debut Eurobond issuance, which demonstrates the continuing strong demand for Turkish bonds. Our team's involvement in an increasing number of deals in Türkiye, both on the issuer and the bank sides, covenanted and uncovenanted, is a testament to our deep knowledge of the Turkish market and our debt capital markets capabilities."