Akfen Holding

Akfen Holding is a Turkish infrastructure-focused conglomerate founded by Hamdi Akın in 1976. The group developed from construction and infrastructure activities into a diversified investment platform whose interests have included airports, ports, ferry transportation, renewable energy, hotels, real estate investment, hospitals and mining. Akfen generally operates through specialized subsidiaries, project companies and partnerships rather than selling a single standardized consumer product. A defining feature of the group has been its use of joint ventures with international infrastructure, transport, hospitality and development-finance organizations. Its historic partners and counterparties have included PSA International, Accor Hotels, IFM Investors, the European Bank for Reconstruction and Development, the International Finance Corporation, TÜV SÜD, Doğuş Group, Tepe Group, Vienna Airport and Aeroports de Paris. These relationships enabled Akfen to participate in build-operate-transfer concessions, privatizations, public-private partnerships and long-term asset operations. Akfen became a holding company in 1999. Among its most visible investments was TAV Airports, established with Tepe Group and Vienna Airport in 1997. TAV won the tender to build Istanbul Atatürk Airport and subsequently developed a broader airport-services ecosystem covering duty-free retail, food and beverage, ground handling and airport transportation. Akfen later sold its TAV stake to the Aeroports de Paris Group in two stages, exiting the investment in 2017. The group has also been involved in Mersin International Port, Turkey’s principal container-port projects through MIP, and TÜVTÜRK, which operated Turkey’s periodic vehicle-inspection concession. In real estate and hospitality, Akfen REIT has focused on city hotels operated under Accor brands such as Ibis and Novotel. Its energy platform, Akfen Renewables, has developed a renewable-generation portfolio reported at approximately 700 MW and is separately traded on Borsa Istanbul under the AKFYE ticker. Akfen also holds interests in mining through Acacia Mining, operator of the Gökırmak copper mine in Kastamonu Province. Akfen Construction has supported the group’s public-infrastructure strategy. Through public-private partnership arrangements, it developed three large Turkish city hospitals— Isparta, Eskişehir and Tekirdağ—under long-term lease arrangements with the Turkish Ministry of Health. The projects illustrate the group’s movement from conventional contracting toward development, financing and operation of large public-service assets. The corporate brand is therefore associated primarily with infrastructure investment and asset development rather than a consumer-facing product line. Its portfolio and ownership positions have changed through disposals, public offerings and new project investments. The supplied reference material does not establish a complete current group structure, current executive roster, consolidated financial position or a definitive corporate website, so those details are left unspecified.

Akfen Holding began in Turkey in 1976 under the leadership of Hamdi Akın. Its initial base was construction and infrastructure, but the group gradually adopted a broader investment model in which project companies, operating subsidiaries and joint ventures were used to develop and manage infrastructure-related assets. This evolution eventually led to the group’s formal status as a holding company in 1999. A major early turning point was the creation of TAV Airports in 1997 with Tepe Group and Vienna Airport. TAV won the contract to build Istanbul Atatürk Airport, an early and prominent example of the build-operate-transfer model. The company later assembled a portfolio of airport concessions and related operating businesses. Its airport ecosystem included ATÜ for duty-free retail, BTA for food and beverage, TGS for ground handling with Turkish Airlines, and Havaş for airport-to-city transportation. Akfen monetized this investment through a staged sale to the Aeroports de Paris Group: a 38% stake was sold in 2012 and the remaining 8% in 2017. Akfen expanded into maritime infrastructure through Mersin International Port. In 2007, Akfen and PSA International formed MIP and won the privatization tender for the container port. The reference material describes a 36-year concession valued at $755 million and reports that container throughput increased from roughly 400,000 TEU when the consortium assumed operations to approximately 1.6 million TEU after a decade of capacity expansion. Akfen later sold 40% of MIP to IFM Investors and retained a 10% interest according to the supplied portfolio description. The group also entered vehicle inspection through TÜVTÜRK, established in 2007 with TÜV SÜD and Doğuş Group. TÜVTÜRK won a 20-year monopoly concession for periodic vehicle inspections in Turkey. Akfen subsequently sold its 33% interest to Bridgepoint Group for an undisclosed amount. In hospitality and real estate, Akfen developed Akfen REIT as a vehicle focused on city hotels operated under Accor brands, including Ibis and Novotel. The reference material states that Akfen REIT became publicly traded on Borsa Istanbul under AKFGY and that Akfen and the Akın family together held 55.5%. It also identifies the REIT’s convertible bond as the first of its kind issued in Turkey. Energy became another important platform through Akfen Renewables, described in the supplied material as a renewable electricity-generation business with approximately 700 MW of capacity. The company trades on Borsa Istanbul under AKFYE, with Akfen Holding reported to hold 66.5%. Before the offering, the EBRD and IFC each held close to 17%. Akfen’s construction arm has also been used to execute public-private partnership projects. Akfen Construction developed the 755-bed Isparta City Hospital, the 1,081-bed Eskişehir City Hospital and the 566-bed Tekirdağ City Hospital, with lease-back arrangements involving Turkey’s Ministry of Health. The reference material reports total investment of $1.1 billion for the three hospitals. Mining has been represented by Acacia Mining, in which Akfen reportedly holds 45.5%. Acacia owns and operates the Gökırmak copper-mine project in Kastamonu Province. In 2018, the project obtained $145 million in financing from Société Générale, BNP Paribas and ING Group, described in the supplied material as an early Turkish mining project-finance transaction in a sector traditionally reliant on equity. Alongside its commercial activities, the Akın family established the Turkey Human Resources Foundation, known as TİKAV, in 1999. The foundation supports educational and leadership development for university students from eastern and southeastern Turkey and carries out social-responsibility initiatives associated with the Akfen group. The available references do not provide a complete chronology of all subsidiaries, disposals, current executives or present ownership arrangements.

• 2018

  Gökırmak copper project receives financing

  [1]Akfen Holdingen.wikipedia.org

  Acacia Mining secures project financing from Société Générale, BNP Paribas and ING Group.

• 2017

  Akfen completes TAV exit

  [1]Akfen Holdingen.wikipedia.org

  Akfen sells its remaining 8% TAV Airports interest to the Aeroports de Paris Group.

• 2012

  First TAV stake sale

  [1]Akfen Holdingen.wikipedia.org

  Akfen sells a 38% interest in TAV Airports to the Aeroports de Paris Group.

• 2007

  Mersin International Port and TÜVTÜRK investments begin

  [1]Akfen Holdingen.wikipedia.org

  Akfen forms MIP with PSA International and participates with TÜV SÜD and Doğuş Group in TÜVTÜRK.

• 1999

  Akfen adopts holding-company status

  [1]Akfen Holdingen.wikipedia.org

  The group formally becomes a holding company as its activities broaden across infrastructure and related investments.

• 1999

  TİKAV is founded

  [1]Akfen Holdingen.wikipedia.org

  The Akın family establishes the Turkey Human Resources Foundation to support education and youth leadership development.

• 1997

  TAV Airports is established

  [1]Akfen Holdingen.wikipedia.org

  Akfen, Tepe Group and Vienna Airport establish TAV Airports, which wins the tender to build Istanbul Atatürk Airport.

• 1976

  Akfen is founded

  [1]Akfen Holdingen.wikipedia.org

  Hamdi Akın establishes the Turkish business that later develops into Akfen Holding.

A Turkish infrastructure investment and operating group that combines project development, long-term concessions, asset ownership and strategic joint ventures.

• Infrastructure investment

  Infrastructure investments

  Akfen’s central offering is investment, development and operation of infrastructure assets rather than a standardized consumer product. Its portfolio has included airports, container ports, ferry transportation, hospitals and other public-service infrastructure. Projects are typically implemented through subsidiaries, concessions, public-private partnerships or joint ventures with strategic and financial partners.

• Renewable energy

  Akfen Renewables

  Akfen Renewables is the group’s renewable electricity-generation platform. The supplied reference material describes a portfolio of approximately 700 MW and identifies the company as publicly traded on Borsa Istanbul under AKFYE. Its activities concern generation assets and energy infrastructure rather than a branded retail electricity product.

• Real estate and hospitality

  Akfen REIT

  Akfen REIT is a real-estate investment platform focused on city hotels, including properties operated under Accor’s Ibis and Novotel brands. It is publicly traded on Borsa Istanbul under AKFGY. The platform gives Akfen exposure to hospitality real estate through property development, ownership and investment rather than through a standalone hotel brand.

• Port infrastructure · 2007

  Mersin International Port

  Mersin International Port is the group’s container-port investment in southern Turkey. It was developed with PSA International through a privatization concession. Akfen’s role has been as an infrastructure investor and shareholder in the operating company, with the port’s capacity expanded substantially after the consortium took over operations.

• Construction and public-private partnerships

  Akfen Construction

  Akfen Construction is the group’s construction and project-delivery arm. It has been used for large infrastructure and public-private partnership projects, including the Isparta, Eskişehir and Tekirdağ city hospitals. These projects combine construction, financing and long-term lease arrangements with public authorities.

• Mining

  Acacia Mining

  Acacia Mining owns and operates the Gökırmak copper-mine project in Kastamonu Province, Turkey. Akfen is reported to hold a 45.5% interest. The project represents the group’s participation in natural-resources infrastructure and industrial investment outside its better-known transport, energy and hospitality activities.

• 2017

  Complete the sale of TAV Airports holdingsM&A

  Background

  After the earlier disposal, Akfen retained an 8% interest in TAV Airports.

  Action taken

  Akfen sold its remaining 8% stake to the Aeroports de Paris Group for $160 million.

  Aftermath

  The sale completed Akfen’s exit from TAV Airports.

  Stake-sale proceeds. $160 million (2017)

  Source

• 2012

  Sell a majority interest in TAV AirportsM&A

  Background

  Akfen had developed TAV Airports into a substantial airport-concessions and services platform following the Istanbul Atatürk Airport project.

  Action taken

  Akfen sold a 38% stake in TAV Airports to the Aeroports de Paris Group for $874 million.

  Aftermath

  The transaction began Akfen’s staged exit from TAV while transferring a major strategic position to the Aeroports de Paris Group.

  Stake-sale proceeds. $874 million (2012)

  Source

• 2007

  Enter the Mersin container-port concessionStrategy

  Background

  Akfen sought to expand from construction and airport infrastructure into long-term port ownership and operations.

  Action taken

  Akfen partnered with PSA International to form MIP and win the privatization tender for Mersin’s container port.

  Aftermath

  The port became a core maritime-infrastructure investment, with reported throughput growth following capacity expansion.

  Privatization tender value. $755 million (2007)

  Source

• 2007

  Participate in Turkey’s vehicle-inspection concessionStrategy

  Background

  Turkey offered a long-term concession for periodic vehicle inspections, allowing private operators to manage the service under a regulated framework.

  Action taken

  Akfen joined TÜV SÜD and Doğuş Group in establishing TÜVTÜRK, which won a 20-year monopoly concession.

  Aftermath

  Akfen later exited by selling its 33% TÜVTÜRK stake to Bridgepoint Group for an undisclosed amount.

  Source

• Develop city hospitals through public-private partnershipsStrategy

  Background

  Turkey’s city-hospital program created opportunities for private groups to finance and construct large healthcare facilities and lease them to the Ministry of Health.

  Action taken

  Akfen Construction developed the Isparta, Eskişehir and Tekirdağ city hospitals under long-term lease-back arrangements.

  Aftermath

  The three projects expanded Akfen’s infrastructure portfolio into healthcare facilities and long-duration public-service contracts.

  Reported investment in three hospitals. $1.1 billion (Not specified in the supplied reference)

  Source

• 2018

  Acacia Mining secures project financing for Gökırmak copper mine[1]Akfen Holdingen.wikipedia.org

  Other

  Acacia Mining obtained $145 million in project financing from Société Générale, BNP Paribas and ING Group for the Gökırmak copper-mine project.

• 2017

  Akfen completes its TAV Airports exit[1]Akfen Holdingen.wikipedia.org

  M&A

  Akfen sold its remaining 8% stake in TAV Airports to the Aeroports de Paris Group for $160 million.

• 2012

  Akfen exits TAV Airports[1]Akfen Holdingen.wikipedia.org

  M&A

  Akfen sold a 38% interest in TAV Airports to the Aeroports de Paris Group for $874 million, beginning its exit from the airport investment.

• 2007

  Akfen and PSA International establish Mersin International Port[1]Akfen Holdingen.wikipedia.org

  M&A · Other

  Akfen and PSA International formed MIP and won the privatization tender for the Mersin container port under a long-term operating arrangement.

• 2007

  Akfen, TÜV SÜD and Doğuş Group establish TÜVTÜRK[1]Akfen Holdingen.wikipedia.org

  Other · Regulation

  The partners established TÜVTÜRK, which received a 20-year concession to conduct periodic vehicle inspections in Turkey.

• 1999

  Akfen Holding becomes a holding company[1]Akfen Holdingen.wikipedia.org

  Other

  Akfen formalized its holding-company structure as its activities expanded beyond its original construction and infrastructure base.

• 1997

  Akfen and partners establish TAV Airports[1]Akfen Holdingen.wikipedia.org

  Other

  Akfen, Tepe Group and Vienna Airport founded TAV Airports, which won the tender to build Istanbul Atatürk Airport and later expanded into a wider airport-concessions and services platform.

• Akfen sells part of its Mersin International Port stake[1]Akfen Holdingen.wikipedia.org

  M&A

  Akfen sold a 40% interest in MIP to Australian infrastructure investor IFM Investors, partially monetizing its port investment while retaining a 10% stake according to the reference material.

• Akfen funds major Turkish city-hospital projects[1]Akfen Holdingen.wikipedia.org

  Other

  Akfen Construction entered public-private partnership arrangements to develop and lease three large hospitals to Turkey’s Ministry of Health: Isparta, Eskişehir and Tekirdağ.

• Akfen Renewables trades on Borsa Istanbul[1]Akfen Holdingen.wikipedia.org

  Product launch · Other

  Akfen Renewables became a publicly traded renewable-generation platform on Borsa Istanbul under the AKFYE ticker; the reference material reports Akfen Holding as holding 66.5%.

1. 1Akfen Holdingen.wikipedia.org