Company to use funds to expand TDC unit.
Turkish telco Turkcell has secured new financing to fund its data center roll-out plans.
The company this week announced that its subsidiary, TDC Veri Hizmetleri (TDC), has secured €100 million ($112.5m) in murabaha financing through a strategic agreement with Emirates NBD Bank.
The five-year financing agreement will be used towards Turkcell Group’s data center investments via TDC, accelerate its digital infrastructure initiatives, and align with its long-term strategic growth objectives. Details on any planned build-out weren’t shared.
The financing agreement is based on interest-free murabaha principles, where the buyer and seller agree on the markup without involving interest payments.
“The financing secured with Emirates NBD is a testament to the confidence that global financial institutions have in Turkcell,” said Kamil Kalyon, Turkcell CFO. “It further affirms that our strategic commitment to driving future growth and delivering value to our investors is steering us in the right direction. We are proud to attract international investment into our data center operations. And we believe these investments will pave the way for more strategic partnerships and future investments, unlocking new opportunities for growth and collaboration in the digital landscape.”
Turkcell was founded in 1994. The state-owned Turkish Wealth Fund (TWF) acquired the company in 2020; TWF was reportedly considering a sale of the telco last year.
On its website, Turkcell says it operates eight core data centers across four markets in Tekirdag, Gebze, Ankara, and Izmir, totaling 122,000 sqm (1,313,197 sq ft) - 32,000 sqm (344,445 sq ft) of white space - and 41.5MW. The company aims to add a further 8.4MW to the current footprint by the end of 2025.
Turkcell founded TDC last year to expand its data center offering. The company also offers cloud services through Turkcell Cloud.
Pri McNair, group co-head of corporate coverage at Emirates NBD, said: "Emirates NBD's €100 million Murabaha financing deal with Turkcell is part of a long-term strategy to support growth-oriented companies investing in digital transformation. This deal reflects our confidence in Turkcell, and we’re proud to support the company’s data center expansion, consolidating its position as a telecom leader. This transaction further reinforces Emirates NBD’s role as a trusted financial partner delivering tailored solutions that drive sustainable growth.”
