PASHA Bank continues to strengthen the real sector with its Asset-Backed Securities (ABS) issuances. PASHA Bank completed a TRY 90 million issuance on behalf of Tarfin Tarım, featuring a Turk Rating A1 rating and a 114-day average maturity with a simple annual yield of 53.06%.
Since its inception, PASHA Bank has consistently added value to the financial sector and provided innovative solutions to meet investors' financial needs, becoming one of the leading banks in its sector through ABS issuances that empower the real sector. While offering attractive financial instruments to its investors, PASHA Bank also contributes to the growth of the market, having connected over TRY 3 billion in financial resources to the agriculture, automotive, chemical, and retail sectors since its first ABS issuance in 2020. Most recently, PASHA Bank completed another TRY 90 million ABS issuance for the agricultural sector. This issuance, with an annual simple yield of 53.06%, a 114-day maturity, and a Turk Rating A1 rating, stands out in the market. Providing insights into PASHA Bank's new ABS issuance after successfully reaching TRY 10.431 billion in total assets in the first half of the year, PASHA Bank's General Manager H. Cenk Eynehan said: "As PASHA Bank, we continue our ABS issuance operations, which we started in 2020, without slowing down. Since the beginning, we have connected over TRY 3 billion in financial resources to our clients operating in the agriculture, automotive, chemical, and retail sectors. Last year, we pioneered a first in the Turkish capital markets by facilitating an ABS issuance indexed to wheat prices. This method eliminated uncertainties in financial markets and mitigated pricing risks by indexing the future prices of agricultural inputs to wheat prices. The strong and multiple collateral structure and attractive return opportunity are behind these issues, which we have specially designed for qualified investors On behalf of Tarfin Tarım A.Ş., we are very pleased to continue to support the agricultural sector, which is one of the most important items for the sustainability of today, the future and the economy, with these issues we offer to qualified investors.”
First in Türkiye
Adding that qualified investors can now easily and quickly participate in ABS issuances online through PASHA Bank’s website, Eynehan stated, "We have pioneered a first in Türkiye by creating a platform where qualified investors can easily participate in issuances such as bonds or ABSs. This way, all qualified investors, whether they are clients of PASHA Bank or not, can easily place their orders for ABSs on the digital platform accessible through PASHA Bank’s website."
These issuances aimed at the agricultural sector not only enable Tarfin to support more farmers but also once again demonstrate the critical role that innovative capital market instruments like ABSs play in financing the real sector. Tarfin Tarım A.Ş. provides fertilizers, seeds, feed, and similar agricultural inputs at competitive prices and with payment terms tailored to the cash flows of farmers, through 1,196 sales points across 80 provinces and 13,024 villages.