Turkey: Turkey Rönesans Project Manzara Sustainable Bond Investment

approved

The Project proposes to invest USD40 million into the sustainable bond issued by Rönesans Holding A.Ş. (“Rönesans”, “RHOL” or the “Issuer”), which is a global project development, investment, and contractor group with a footprint mainly in Turkey, Europe, Central Asia Countries, Middle East and North Africa. The proposed investment represents a tap issuance, or add-on investment, into the first sustainable bond issued by Rönesans in October 2024 (the “Project or the “Bond”). Rönesans published its Sustainable Finance Framework (SFF) in 2024, in alignment with the International Capital Market Association's (ICMA) Green Bond Principles and Social Bond Principles; a second party opinion (SPO) was provided by ISS. The original issuance totaled USD350 million, with participation from international financial institutions including IFC, EBRD, and DEG, and the remaining from banks, asset managers and funds. The proceeds of the Bond will be allocated to finance new and existing projects that are qualified under the Eligible Green Categories and Eligible Social Categories, as defined in the Issuer's SFF. The Eligible Green Categories include: i) renewable energy, ii) energy efficiency, iii) green buildings, iv) clean transportation, v) climate change adaptation and vi) sustainable water and wastewater management. Whereas the Eligible Social Categories include: i) access to essential services (healthcare), ii) access to essential services (education, emergency/disaster relief), iii) affordable housing and iv) socio-economic advancement and empowerment. The Bond issuance will help accelerate Rönesans' investment and expansion under the sustainable framework, contributing to its long-term strategic growth. AIIB's investment will support renewable energy, specifically YEKA wind power projects (WPPs), in Turkey, as an eligible Green Category under the SFF.