Summary of Proposed Investment
Project Number
9551
Company Name
GARANTI FINANSAL KIRALAMA ANONIM SIRKETI
Date SPI Disclosed
Aug 27, 1999
Country
Turkiye
Industry
Financial Markets
Status
Completed
Sector
Leasing Services
Department
Global Industry, Financial Markets
Environmental Category
FI
Previous Events
Approved : Dec 14, 1999
Signed : Dec 21, 1999
Invested : Dec 22, 1999
Project Description
Summary Of Project Information (SPI)
| Project Name | Turkey - Lease Securitization |
RegionCentral & Southern Europe
Sector
Project No009551
Projected Board DateSeptember 28, 1999
Company NameGaranti Leasing
Technical Partner and/or Major Shareholders
Garanti Leasing is an 80% owned subsidiary of Garanti Bank, a commercial bank established in 1946, and one of Turkey’s leading private banks. The remaining 20% share is owned by Korfez Bank. Garanti Bank and Korfez Bank are members of the Dogus Group of Companies. The Dogus Group is a Turkish conglomerate with interests in construction, financial services, automotive production and sales, food processing, leisure, mass media, and other services. The Group was established in 1951, is owned by the Sahenk family and is professionally managed.
Project Cost Including proposed IFC investment
Project cost: up to US$70 million. This will be funded by an up to US$10 million IFC A Loan and an up to US$60 million IFC B Loan.
Location of project and Description of site
Garanti Leasing is located in Turkey, with its headquarters based in Istanbul.
Description of Company and Purpose of Project
Garanti Leasing is among Turkey''s largest leasing companies with assets of US$210 million as at June 30, 1999. The proposed project consists of the securitization of a portfolio of lease receivables held by of Garanti Leasing in order to provide the company with medium term funding which it cannot access otherwise through direct borrowings on its balance sheet. Garanti Leasing will use the proceeds to better match its asset-liability structure, further strengthen its balance sheet and built a more diversified leasing portfolio.
Environmental Category and Issues
This is a Category FI Type 1 project. Garanti Leasing will be required to implement an environmental management system and require that leased assets under relevant operations comply with the applicable environmental, health and safety requirements of Turkey. IFC will work with Garanti Leasing to develop a capacity to ensure these requirements are met. Garanti Leasing will be required to provide an annual environmental performance report.
| Date SPI sent to InfoShop | August 27, 1999 |
“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 974-4384
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