Local company secures 200 mln euros in loans for two new car models

ISTANBUL

Turkish automotive maker Tofaş has signed a loan deal worth 200 million euros for the financing of two new models, it said in a written statement to the Public Disclosure Platform (KAP) on Aug. 12. 

“The loan’s capital and interest payments will be made every six months until December 2022, and the total cost of financing including the insurance premium is approximately six months Euribor plus 2.4 percent,” said the statement. 

The automaker, owned by Turkey’s Koç Holding and Italy’s Fiat, previously said it would invest $1 billion to produce three new models of cars, mainly for export, in another written statement to the KAP in November last year.  

The Bursa-based carmaker is planning to produce 1.3 million hatchbacks, station wagons and sedans between 2016 and 2023, it added.