Borsa İstanbul holds Extraordinary General Assembly
Borsa İstanbul General Assembly convened at its Conference Hall in its Emirgan campus on Monday, December 7, 2015.
In the opening of the meeting, the national anthem of Turkey was sung and a moment of silence was observed. Meeting Secretariat was established and the Meeting Chairman was authorized to sign the minutes of the meeting and the participation list.
In his speech at the General Assembly, Borsa İstanbul Chairman Dr. Talat Ulussever said, “Borsa İstanbul has recently made new leaps forward and has taken new steps. The most important of those are, as you have followed, BISTECH transformation and the strategic partnership with the European Bank for Reconstruction and Development (EBRD), which is our main agenda item today”.
Ulussever went on to say, “The first phase of the technological transformation program BISTECH, planned as a result of the strategic partnership with NASDAQ was successfully completed on November 30. Once the further phases, and hence the project is completed, in addition to technological transformation, we will have received services such as consultancy and information transfer. Therefore, when the entire transformation has been completed, Borsa İstanbul will have a technological infrastructure that is easily scalable and also allowing the trading of numerous capital markets instruments, including financial contracts on energy and other commodities, in more than one language and currency. Ulussever added, “Partnership with a highly internationally recognized institution such as the EBRD, and particularly the transfer restrictions that will be applicable on the acquired shares following the initial public offering will provide significant institutional and financial advantages in the public offering process. Furthermore, EBRD’s participation in the advisory “Initial Public Offering Group” will allow us to make use of their knowledge and experience”.
Strategic Partnership with the European Bank for Reconstruction and Development (EBRD) is of Great Significance
Borsa İstanbul CEO Tuncay Dinç said that Borsa İstanbul is one of the most important actors of Istanbul International Financial Center project, which aims to make Istanbul an international financial center, and Borsa İstanbul will take a step further through its strategic partnership with EBRD. Dinç emphasized that the investment, realized at a difficult time for emerging markets, shows Turkey’s significance and difference.
Dinç stated that Borsa İstanbul signed a term Sheet with the EBRD on May 29, which was approved by the Treasury Undersecretariat and Capital Markets Board of Turkey, and is expected to be approved by Borsa İstanbul General Assembly, adding: “The cooperation of the two organizations is in line with Borsa İstanbul’s strategic roadmap heading towards becoming a global market. As you are aware, Borsa İstanbul strengthens its relations with particularly its neighboring exchanges and financial institutions, and its main target is to create a network of exchanges covering the Balkans, Central Asia, North Africa and the Middle East.” Dinç stated that such cooperation will contribute to Borsa İstanbul’s growth targets, and went on to say, “The region where the EBRD is active largely coincides with the region where Borsa İstanbul plans to grow. Therefore, the partnership will open the gates for new opportunities for Borsa İstanbul, as it intends to play an active role in such region”.
Dinç also said that EBRD’s investment of 10% in Borsa İstanbul’s capital is an indication of the confidence in Borsa İstanbul on the international level prior to the initial public offering envisaged for 2016 and closed his speech by expressing his wish that the cooperation will be fruitful for the capital markets. Following Mr. Dinç’s speech, transfer of some shares registered with Borsa İstanbul A.Ş. to the EBRD was submitted for the approval of the General Assembly and was unanimously accepted.
European Bank for Reconstruction and Development (EBRD)
Turkey is a founding member of the European Bank for Reconstruction and Development (EBRD), and a representative from the Turkish Treasury Undersecretariat sits on its Board. Headquartered in London, the Bank started its operations in 1991. EBRD has a total of sixty-six members, including sixty-four states, European Union, and the European Investment Bank, and aims to accelerate transition to free market economy and support entrepreneurship in the private sector.
EBRD opened its first office in Turkey in Istanbul, followed by offices in Ankara and Gaziantep, and actively operates in more than 30 countries. EBRD’s global investments in 2014 only amounted €8.9 billion. Turkey is among the countries that receive funds from the EBRD. The Bank focuses on sustainable energy, support for SMEs, increasing the competitive power in the industrial sector, and privatization. The majority of the projects supported by the EBRD belong to the private sector. EBRD provides finance for these projects in the form of loans or capital investments.
As part of its investments in emerging markets, EBRD has invested in Moscow, Bucharest and Zagreb exchanges and has significant experience in the regional exchanges, capital markets and the exchange business.
