Consumers in Turkey will benefit as the country’s second-largest retailer, Migros, will modernise its stores and expand operations using €60 million in new financing from the EBRD.
The Bank’s funds will finance an upgrade of the firm’s existing stores and digital infrastructure, the modernisation of logistics and the implementation of the best energy-efficient technologies in new stores, in line with EU standards.
Migros shares the EBRD’s strong commitment to raising the levels of vocational skills in Turkey and, in particular, to creating opportunities for young people and preparing them for the job market.
The supermarket chain has set up a “retail academy”, which is expected to be accredited as a vocational training centre by a specialised state agency. Over the tenor of the EBRD’s loan, the academy will train around 2,000 young people, equipping them with skills that are in demand in the wider retail sector.
Supporting successful Turkish companies such as Migros is part of the EBRD’s strategy to boost the competitiveness of Turkey’s economy.
The Bank has invested in two Turkish-lira-denominated bonds issued by Migros earlier in 2018.
The retailer operates in 81 Turkish provinces, through a network of 2,048 food retail stores under the brand names of Migros, M-Jet, 5M, Kipa and Macrocenter. The company is also active in Kazakhstan and FYR Macedonia, with a total of 42 Ramstore outlets.
Listed on Borsa Istanbul, is the firm is 50 percent-owned by Anadolu Group, a diversified fast-moving consumer goods group and a longstanding partner of the EBRD.
The private equity group BC Partners owns 23 percent of Migros shares and the remaining 27 percent are held by free-float investors.
Original source: EBRD
Published on 28 December 2018
