S&P: Turkey certificates BB

Standard & Poor's said it assigned BB issue credit ratings to the proposed U.S. dollar sukuk lease certificates to be issued by Hazine Mustesarligi Varlik Kiralama Anonim Sirketi, a special purpose vehicle wholly owned by the Republic of Turkey.

Turkey has a foreign-currency rating of BB and stable outlook.

The transaction aims to raise funds in accordance with the Islamic principles of ijara, or leasing. The assets underlying the lease will be state-owned buildings and land in Turkey, S&P said.

The two key rating factors underpinning the rating are the rental payments to be made by the state and the obligation that the state has to repurchase the underlying assets, the agency said.

The rating is equalized with the rating on the senior unsecured debt of Turkey, S&P added.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.