Eti Krom AS hired JP Morgan Chase to raise $250 million from its first sale of dollar-denominated Islamic bonds. It is stated that the Turkish ferrochrome producer will use the money from the five-year securities for capital expenditure and other operating expenses.
Stating that the sale of the high-yielding bonds is expected later this year, Yıldırım Grup CFO Evren Özturk said: “We want to boost our financial credibility in the Middle East, That’s why we will issue sukuk instead of conventional finance.”
The company’s offering will follow that of Turkey’s government, which in February raised $2 billion from a sale of Islamic bonds that was about three times oversubscribed.
