The Elazığ Integrated Health Campus PPP Project

The end of November also marked the financial close of the Elazığ Integrated Health Campus PPP Project, a landmark project for Turkey and Bezen & Partners, on which the team provided advice to the sponsors. The Elazığ Hospital PPP Project is an urban hospital project of the Ministry of Health, which is being built by RMİ Rönesans Medikal Taahhüt İnşaat by means of Public-Private Partnership (“PPP”) model. The hospital project is the first ‘green and social bond’ for an infrastructure project in Turkey and the first long-term project bond in the Turkish PPP market. Together with Rönesans, Meridiam, EBRD and MIGA have structured a first time credit enhancement scheme which will enable and support the use of debt capital markets products as an alternative source of funding for infrastructure. A €288 million bond with a 20-year maturity has been issued by way of a private placement amongst leading financial institutions, notably IFC and Proparco.

The Project will have a capacity of 1038 beds and will comprise a general hospital, women’s and children’s hospital, psychiatric hospital, oral and dental health centre and additional support buildings and facilities. The hospital will offer greater access to high quality healthcare services, as well as additional capacity for expansion in the future. The projected completion date for the project is August 2018.

This Project received the “European PPP Deal of the Year” award from Infrastructure Journal.