Akin Advises Türk Telekom on Landmark Sukuk Issuance and Green Notes Issuance

(Dubai) – Akin advised Türk Telekomunikasyon A.Ş. (“Türk Telekom”), Türkiye’s first integrated telecommunications group, in relation to its inaugural $600 million senior unsecured lease certificates due 2030, listed on Euronext Dublin’s Global Exchange Market and issued through its wholly-owned asset leasing company, TT Varlık Kiralama A.Ş.

This landmark transaction serves as a first-of-its kind issuance by a telecommunication company out of Türkiye, utilizing a never before used structure out of the jurisdiction.

Moreover, the transaction achieved a three-times oversubscribed order book, fueled by Islamic demand out of the GCC. The landing yield of 6.500% represented the tightest achieved by a corporate out of Türkiye since 2022, the tightest yield for a BB rated corporate issue from Türkiye since 2019 and the tightest yield ever achieved by Türk Telekom since its debut in the international debt capital markets.  

This landmark Sukuk issuance follows Türk Telekom’s recent $600 million green bonds issuance earlier this month, on which the Akin team also advised Türk Telekom, and which achieved an oversubscribed order book of $1.6 billion. The success of Türk Telekom’s green notes and Sukuk reflect strong investor interest in issuers from Türkiye.  Both the green notes and the Sukuk were offered and sold in reliance upon Rule 144A and Regulation S.

The success of both transactions is reflective of the Akin team’s continued leading role in the Turkish capital markets. 

The Akin team was led by capital markets partner Rizwan Kanji with assistance from counsel Nicola Minervini and associate Sahar Abas. US Securities advice was led by capital markets partner Julian Veshi with assistance from counsel, Elizabeth Atkins. Partner Olivier De Moor and counsel Julie Geng advised on tax aspects.

Akin is a leading international law firm with more than 900 lawyers in offices throughout the United States, Europe, Asia and the Middle East.

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