ISTANBUL--(BUSINESS WIRE)--Following the Annual General Assembly Meeting where successful 2017 results were approved, Fitch published its new report on Turkcell (NYSE:TKC) (BIST:TCELL) affirming “investment grade” status and revised its outlook from “negative” to “stable.” International credit rating agency Fitch noted that Turkcell’s financial strength is comparable to those of higher rated western European telecom peers.
Turkcell’s bond, potentially to be issued in April, is also rated “investment grade” at BBB- by Fitch.
Shortly after the report by international credit rating agency S&P affirming an “investment grade” rating of Turkcell, Fitch affirmed the “investment grade” rating at BBB- and revised Turkcell’s outlook from “negative” to “stable.” Fitch noted that Turkcell’s financial strength is comparable to those of higher rated western European telecom peers, and Turkcell has arguably developed a broader understanding of mobile-based digital services and data monetization.
Turkcell’s bond, potentially to be issued in April with an amount up to 750 million USD in international markets, is also rated “investment grade” at BBB- by Fitch.
On the same day of the report, Turkcell’s Annual General Assembly Meeting was held and 1.9 billion TL in dividend distribution was approved. According to the company release: “We are happy to be able to share the financial success of our company again this year with our shareholders with this dividend decision.”
The Fitch report, published following the AGM meeting, highlighted the strategies and financial strength of Turkcell. Fitch listed the key rating drivers and factors for the improvement as the digital service strategy, a strong financial and operational outlook, a strong balance sheet and fx risk management, while also commenting that Turkcell has stronger growth potential than its peers.