EBRD to finance $358M loan for Türkiye's Antalya Airport
Refinancing loan forms part of €2.5B debt package, which is expected to help Antalya Airport to switch from temporary financing to stable, long-term project finance loan
A view of Antalya Airport ( Mustafa Ciftci - Anadolu Agency )
ISTANBUL
The European Bank for Reconstruction and Development (EBRD) announced Wednesday that it will provide a €315 million ($358 million) loan to Antalya Airport, which welcomes some 30 million passengers every year, both foreign and domestic, to the Turkish Riviera resort city.
The loan will be given to Fraport TAV Antalya Investment, Construction and Operation, a joint venture between Fraport AG and TAV Airports that was established in Türkiye for the purpose of operating Antalya Airport under a new 25-year concession.
"The loan forms part of a €2.5 billion debt package. The proceeds will be used to refinance a bridge loan that Fraport TAV Antalya Investment, Construction and Operation raised from commercial banks and development finance institutions to cover the period 2022-24, as well as covering the associated financing expenses," it said.
With the refinancing of the bridge loan, Fraport TAV Antalya will move from temporary financing to a stable, long-term project financing loan, which is important for a large-scale infrastructure project such as Antalya Airport.
"Partnering with the EBRD on this refinancing initiative is pivotal for strengthening Antalya Airport’s financial foundations and supporting its growth as a key gateway to the Turkish Riviera. This collaboration underscores our commitment to sustainable development in Türkiye’s aviation sector, paving the way for enhanced infrastructure and workforce opportunities," said Michael Reusch, a member of Fraport TAV Antalya’s board nominated by Fraport AG.
Burcu Guris, TAV Airports' chief financial officer and deputy CEO, said, "This signing coincides with the opening of the new facilities. Antalya is the largest tourism destination in the Mediterranean and Türkiye’s second-busiest hub in terms of international traffic. This is a strategic investment that will provide the necessary infrastructure to support the region’s long-term development."
Serving around 250 destinations, Antalya Airport is presently the third-biggest airport in Türkiye and has grown at one of the quickest rates in Europe over the past 20 years, making it a significant asset to the Turkish economy.
As a major entry point to the Turkish Riviera for travelers from Europe and the Middle East, it has greatly improved regional connections.
