Turkish technology and communications company Turkcell has secured US$150 million in Murabaha financing from Dubai Islamic Bank, a prominent bank in the Gulf region.
Murabaha is an Islamic financing structure in which the seller and buyer agree to the cost and markup of an asset. It is also referred to as cost-plus financing.
Turkcell has signed the strategic financing agreement to bolster its infrastructure investments and support its long-term strategic growth objectives. This deal broadens Turkcell's investor base and enhances its debt portfolio through a diversified range of financing instruments.
By leveraging both conventional and Islamic financing, as well as international and local bond issuances, development bank loans, export credit agency facilities and sustainability-linked financing, Turkcell says it strengthens its financial foundation.
It adds that this diversified approach is essential for its proactive balance sheet management, ensuring optimal resource utilisation, enhancing financial resilience, and supporting long-term growth strategies.
In a speech at the signing ceremony, Turkcell Chief Executive Officer Dr Ali Taha Koç explained that Turkcell is in an investment phase, focusing on strategic areas such as data centres, cloud technologies, and renewable energy while continuing to strengthen its core telecommunication services, including mobile and fixed broadband.
He added: “This strategic five-year bullet structure financing opens doors to new Gulf-based investors and reinforces our commitment to sustainable and diversified growth.”
