European bank EBRD finalizes stake in Borsa Istanbul

European bank EBRD finalizes stake in Borsa Istanbul

European bank EBRD finalizes stake in Borsa Istanbul The European Bank for Reconstruction and Development (EBRD) and Borsa Istanbul have finalized the bank’s purchase of a 10 percent stake in the Turkish stock exchange.

The acquisition, which had been announced about six months ago, was signed by EBRD First Vice President Phil Bennett and Borsa Istanbul Chief Executive Officer Tuncay Dinç in the presence of Turkish Deputy Prime Minister Mehmet Şimşek at the bourse’s headquarters in Istanbul late Dec. 11.

No financial details were disclosed.

“The long-term investment demonstrates the EBRD’s confidence in the potential of Borsa Istanbul and the Turkish economy as a whole. It also underscores the bank’s support for the country’s comprehensive capital market reform program and the plan to develop Istanbul into a financial center for the region spanning central Asia, south-eastern Europe and north Africa,” the bank said in a statement.

“We are here to celebrate the beginning of the strategic partnership between Borsa Istanbul and the EBRD,” Şimşek said. “I would like to thank Borsa Istanbul’s management and the EBRD for this great milestone agreement. Borsa Istanbul is at the heart of our ambition to make Istanbul an international financial center.”

To date, the European bank has invested 6.8 billion euros ($7.5 billion) in Turkey through 170 projects in infrastructure, energy, agribusiness, industry and finance. It has also mobilized about 16 billion euros ($17.5 billion) for these ventures from other sources of financing.