Rönesans Sağlık Yatırım has secured €288 million in financing for Turkey's first Baa2 rated project bond issuance to fund the Elazığ Fethi Sekin City Hospital, marking a significant advancement in the country's healthcare infrastructure through a public-private partnership.

Information on the Target

Finansal Rönesans Sağlık Yatırım has financed the Elazığ Fethi Sekin City Hospital, utilizing Turkey's first Baa2 rated project bond issuance. Under the public-private partnership (PPP) framework, this project, led by Rönesans Sağlık Yatırım (RSY), has successfully secured financing amounting to €288 million through a bond issuance from a group of foreign investors. The project received this significant rating thanks to an innovative credit enhancement tool provided by the European Bank for Reconstruction and Development (EBRD) and the World Bank’s Multilateral Investment Guarantee Agency (MIGA).

The Elazığ project bond stands out as the first project bond issued in Turkey with a maturity of 20 years to foreign investors. It incorporates a novel credit enhancement instrument developed in collaboration with EBRD and MIGA, thus becoming the first bond in Turkey to be rated Baa2 by Moody's.

Industry Overview in Turkey

The healthcare sector in Turkey is undergoing a transformative phase, primarily driven by the Health Transformation Program (HTP), which emphasizes modern and efficient healthcare facilities across the nation. The PPP model has