Paksoy has advised Coca-Cola Icecek Anonim Sirketi on a USD 500 million seven-year issuance of 144A/RegS bonds at a fixed coupon rate of 4.50%. Joint book runners HSBC Bank plc, J.P. Morgan Securities plc, and Merrill Lynch International were reportedly advised by Allen & Overy.
According to Paksoy, “Coca-Cola Icecek had received an investment-grade rating from S&P in late 2021 on top of its already existing investment-grade rating from Fitch. Marked as Turkey’s largest sustainability-linked bond, the transaction is also regarded as the first sustainability-linked bond of the beverage industry in the EMEA region. The company, under the bond conditions, will have a key performance indicator tied to water usage reduction, and has committed to reporting and externally verifying its performance on an annual basis.”
According to the firm, “the bonds will mature in 2029 and are admitted to listing on the Euronext Dublin. The proceeds will refinance part of USD 500 million outstanding bonds due in September 2024, the company’s debt, support CAPEX investments, and working capital needs.”
Paksoy’s team included Partner Omer Collak, Senior Associate Merve Kurdak, and Associate Bulent Ozturk.
