ICA İçtaş Infrastructure to Issue $405 Million Project Bond for the Sariyer-Kilyos Tunnel
Foreks - ICA İçtaş Altyapı A.Ş., a subsidiary of IC Holding, has made a significant milestone in Turkey's Public-Private Partnership (PPP) infrastructure project financing by issuing project bonds worth 405 million USD for the Sarıyer-Kilyos Tunnel project. The entire revenue generated from the bonds, prepared for international investors, will be utilized for the construction of the Sarıyer-Kilyos Tunnel.
ICA completed the issuance of Project Bonds amounting to 405 million USD under the Sarıyer-Kilyos Tunnel, a Public-Private Partnership (PPP) project. The bond, structured with an annual coupon rate of 7.536%, has a maturity date of October 31, 2027. All funds raised from this bond will be used for the construction of the project. The construction of the Sarıyer-Kilyos Tunnel, whose environmental and social impact assessments comply with international IFC standards, will be undertaken by IC İçtaş İnşaat.
Emphasizing that the financing of the Sarıyer-Kilyos Tunnel project through bonds represents a first in the construction phase of PPP infrastructure projects in Turkey, İsmail Birkan Özen, CFO of IC Holding, stated, “We hope that the Sarıyer-Kilyos Tunnel project, which is significant for providing long-term and sustainable investments in infrastructure projects in Turkey, will serve as a model for similar future investments. With the bond issuance that we plan to evaluate for financing various projects undertaken by our group, we aim to realize our new activities that require a high amount of investment.”
The Sarıyer-Kilyos Tunnel is expected to reduce transportation time from 30 minutes to 5 minutes. Planned to be opened in 2026, the tunnel will connect the Maslak-Levent line to the Northern Ring Road, offering an alternative route to the TEM and E5 corridors. Designed as a twin-tube project, it includes two 7-kilometer tunnels and approximately 1 kilometer of connecting road. By linking the existing Çayırbaşı Tunnel to the Northern Ring Road at Uskumruköy Junction, it will reduce the average travel time on the Sarıyer-Kilyos line from 30 minutes to just 5 minutes, providing significant savings in terms of time and fuel.
In addition to its importance in transportation, the Sarıyer-Kilyos Tunnel also positions itself as a critical route for evacuation and rescue plans in the event of a potential earthquake in Istanbul. Designated as an "Evacuation Route" by the Northern Ring Road, the tunnel will enable rapid access from densely populated areas to northern Istanbul, enhancing the safety of life and property during emergencies. With this strategic role, the Sarıyer-Kilyos Tunnel aims not only to secure transportation routes but also to safeguard the future of Istanbul.