AKFEN HOLDİNG* * Listed on the Istanbul Stock Exchange. Mersin International Port 50% Akfen Construction 100%, TAV Investment 21.

Transcription

1 March 213

2 AKFEN HOLDİNG* TAV Airports* 8.12% Akfen Construction 1%, TAV Investment 21.68% Mersin International Port 5% Istanbul Fast Ferries 3% HEPP Group & Akfen Energy Akfen REIT* 56.1% Akfen Water 5% Akfen Energy 69.5% HEPP I - 1% HEPP II - 1% HEPP III - 1% HEPP IV - 1% HEPP V - 1% * Listed on the Istanbul Stock Exchange 1

3 A Brief Look at Akfen s History : Contractor Phase : Becoming a concession player 25-28: Expansion phase : Corporate actions and exits to create further equity 212-onwards: Ready for new investments with its own equity Establishment of Akınısı Machinery in 1976 Foundation of Akfen Construction and winning of first public sector tender in 1986 BOT Contract for Istanbul Atatürk Airport and Ankara Esenboğa Airport Winning of Kuşadası cruise port and sale of Akfen s stake a year after Mersin Port concession Accor framework agreement for city hotels in Turkey Extension of Istanbul airport and IPO of TAV Airports Winning and development of vehicle inspection stations IPO and SPO of Akfen Holding in ISE Issuance of corporate bonds IPO of Akfen REIT Sale of Akfen s stake in TuvTurk. Natural Gas Power plant investment in Mersin PPP Hospital Projects TAV*/ HEPP** Divestments Gulluk water concession agreement Acquisition of HEPP licenses Sale of Pirinclik HEPP Acquisition of Istanbul Fast Ferries * As of 16 May TAV Airports and TAV Construction deals were finalized. ** As of , 4% of Karasular Enerji Uretimi ve Tic. A.S. was sold to Aquila HydropowerINVEST Investitions GmbH & Co KG. 2

4 Key Investment Pillars Some Examples Concessions with monopolistic nature and/or with guaranteed revenue TAV Airports: Airport concessions in Turkey and abroad MIP: 36 years operating rights of Mersin port HEPP Group: Floor price of US$7.3cent/kWh for 1 years of operation. Akfen REIT : Revenue sharing of 22-25% Respectable business partners with strategic knowhow Shareholding position with control Efficient use of project finance Strong exit capability & execution speed Sustainable & socially responsible stakeholder policies MIP: 5:5 JV TAV Airports: 8.12% with joint control IDO: 3% with joint control HEPP Group: 1% HEPP Group: 75-25% debt to equity IDO: 85-15% debt to equity Stake sale on IPO of TAV Airports Kusadasi Cruise Port, Holding, Akfen Holding & TuvTurk & TAV & TAV C Akfen REIT Signing of the UN Global Compact as the first holding in Turkey (July 22) 3

5 Company Overview Shareholding/Share Performance Shareholder Structure Shareholder Name* (%) Hamdi Akın 68.2% 14. Relative to ISE Akfen Construction 2.8% Other**.7% 1..8 Free Float*** 28.3% 8..6 Total 1.% * Shareholders having above 2% of the shares are referred with names ** Akin Family and the Companies, in which Akin Family has a shareholding *** As of January 15, 213, within the share buy back programme, a total of 1,663,98 shares were acquired, making up 1.144% of the paid-in capital. 6. Akfen Price Relative Yield (rhs).4 Stock Highlights as of February, Closing Price Daily Volume (TLmn) Closing Price (TL) 1.7 Market Cap (mn TL) 1,557 Average Daily Trading Volume (TL) 3,631,719 Free Float*** (%) 28.3% Distribution of Free Float Foreign 63.3% Pension Funds.53% Investment Funds.46% Investment Trusts.7% Retail 35.91% 4

6 Akfen at a glance Robust Businesses Focused on Growth Attractive Markets Enhancing Shareholder Value Successful deal origination Win-win partnership with stakeholders Value from divestitures 5

7 Akfen Holding Overview Business Lines Infrastructure Airport Concessions Contracting Energy Business Travel Infrastructure Company Akfen Energy *According to ENR 212 surveys Akfen s Stake 5% 3% 5% 8.12% 21.68% 1% 69.5% 56.9% Privatization/BOTs Partner Description Projects-Value 1 st export-import and 2 nd largest container port in Turkey with monopolistic position in a Privatization - US$755mn fast developing hinterland in Southern Turkey. Handled over 1.26mn TEU in 212. Well positioned for growth thanks to focus on import and export cargo. Maritime vehicle and passenger transportation Privatization - US$861mn business with strong entry barriers. One of the leading maritime transportation companies in the world in terms of fleet size and number of passengers and vehicles transported. Turkey s first private water utilities concession operator with two operations Leading airport operator in Turkey with 49% market share. 12 Airports and 6 main supporting service companies operating in 6 countries. Strong organic and inorganic growth in dutyfree and ground handling 4 th largest Airport Constr. Company in 212* US$2.8bn of backlog as of as of Focusing on hydro energy portfolio with 373 MW of installed capacity of which 271 MW is renewable and 12 MW is dam-type Combined Cycle natural gas power plant in Mersin with 1,15 MW capacity under development Unique portfolio of city hotels; 14 operational, 2 under construction, 2 under planning Dilovası BOT project - US$11mn Gulluk Concessions - US$8mn Istanbul, Lease: US$3bn Izmir, Lease: US$77mn Istanbul+Izmir+Ankara, BOT: US$1.3bn International BOT: US$9mn and S. Arabia US$1.2bn Total investment for HEPP portfolios (15 MW currently operating, 82 MW under construction) is 437mn Expected investments of around US$1bn Total investments for the portfolio is 2mn 6

8 Akfen Holding Financials & KPI ( US$) 211 YoY % 9M12 YoY % 9M12 (LfL) 1 YoY % Revenue 81,141 22% 48,827-21% 65,963-5% EBITDA 188,444 52% 138,622-6% 177,653 14% Cashflow from operations 68,651 n.a. -53,974 n.m. - - Free Cashflow -123,332 61% 194,617 n.m. - - Net Income (excl. minority) -38,738 n.a. 362,213 n.m. - - Net Debt 2 1,484,911 35% 997,947-33% Net Debt/EBITDA x x Total Assets 2,879,437 2% 2,692,43-6% Shareholder s Equity 69,816-1% 941,387 54% excl. minority interest 41,777-22% 738,752 84% Breakdown of Revenue by Segment ( US$) Breakdown of EBITDA by Segment ( US$) 9M M TAV-C 64, ,65 3,51 125,191 93,446 13,52 23,481 Akfen REIT HEPP I-II-III MIP TAV Airports IDO Other 43,654 2, , ,521 16, ,947 17,389-1,464 3,82 8,468 TAV 11,277 Construc. Akfen REIT 21,85 46,814 56,875 HEPP I-II-III MIP TAV Airports IDO Other 15,57-19,985 94,242 13,572 1,145 1,818 64,82 (1) Like for like refers to TAV Airports and TAV Constr. being consolidated with our stakes prior to the sale in 9M12 and IDO, acquired in June 211 being included in 9M11 (2) Net debt incl deposits over 3 mth recorded under financial investments due to CMB regulations (3) Change between 9M (4) LTM EBITDA was used when calculating 9M212 net debt/ebitda 7

9 9M12; Surge in bottomline Exceptional results Improved EBITDA margin and top-line growth Value from divestitures All time high airport passenger traffic, container throughput handling, construction backlog and room capacity rate Investment program on track MIP and TAV Airports continued to be the main contributors for the top-line and EBITDA, while there was also contribution from the new energy assets and also IDO was consolidated starting from July 211: TAV: total pax number up by 35% YoY at 53.5mn, and air traffic up by 28% TAV Investment: backlog surged to US$2.9bn from US$1.6bn as of end-211 MIP: container volume up by 12% YoY at 942,735 TEU IDO: number of passengers down by 6% YoY at 39mn passengers, number of vehicles up by 2% at 5.9mn vehicles HEPP: with an operating capacity of 133 MW generation output up by 43% YTD at 324 GWh/yr REIT: Occupancy rate reached 67%, up by 3% YoY, T-RevPar rose by 6% YoY to EUR51.8, while the room capacity rose to 2,314 from 1,945 by end-211 Water: Gulluk project invoiced water volume down by 3% at 45,893 m 3 and subscriber number up by 4% at 5,451 subscribers, Arbiogaz Dilovasi treated waste water volume down by 2% at 1,749,136 m 3, number of operating factories in Dilovasi organised industrial zone was 29. 8

10 Operational Performance: January 213 Overall YoY improvement continues TAV: total pax number up by 23% YoY at 5.5mn, and air traffic up by 21% TAV Investment: backlog surged to US$2.8bn from US$1.6bn as of end-211 MIP: container volume down by.4% YoY at 16,71 TEU, conventional throughput down by 11% IDO: number of passengers up by 5% YoY at 3.4mn passengers, number of vehicles up by 5% at.5mn vehicles HEPP: with an operating capacity of 15 MW generation output up by 59% YoY at 45.5 GWh/yr REIT: Occupancy rate reached 56%, up by 2% YoY, T-RevPar rose by 7% YoY to EUR4, while the room capacity rose to 2,47 from 2,314 by end-212 Water: Gulluk project invoiced water volume up by 2% at 2,173 m 3 and subscriber number up by 5% at 5,539 subscribers, Arbiogaz Dilovasi treated waste water volume up by 44% at 298,11 m 3, number of operating factories in Dilovasi organised industrial zone was 21. 9

11 MIP Financials & KPI Akfen s Share: 5% 211 % 9M12 % Revenue (mn US$)* % % EBITDA (mn US$) 128 2% % EBITDA % 58% 3pp 61% 3pp Quick Facts 1 st export-import and 2 nd largest container port in Turkey in a fast developing hinterland in Southern Turkey. Handled over 1.26mn TEU in 212. A sustainable 3.3x GDP growth between Well positioned for growth thanks to focus on import and export cargo. Current capacity of 1.8mn TEU and 9.7mn ton Net Debt (' US$) 52-11% 483-7% Container Handling Volumes (TEU) 1.14mn 11%.9mn 12% Revenue & EBITDA (mn US$) % 55.8% % % % 74 Impressive volume growth in 9M12 Per TEU income of US$15, per ton US$4.2 Continuous improvement in leverage levels EBITDA surge thanks to operational leverage and cost optimization M12 LTM Revenue Adjusted EBITDA EBITDA Margin * Operating Revenues 1

12 TAV Airports Financials & KPI Akfen s Share: 8.12% 211 % 9M12 % Revenue (' US$) 1,22 22% 1,8 6% Adj. EBITDA (' US$) % % Adj. EBITDA % 29% 2pp 31% - Net Debt (' US$) 1,25-6% 1,58 3% Total pax 53mn 11% 53mn 35% Passenger Traffic Figures 211 % 9M12 % Istanbul Atatürk Airport 37.5mn 17% 33.6mn 21% TAV Turkey Total 48.4mn 15% 47.8mn 32% Airport Companies Atatürk (1%) Esenboğa (1%) Adnan Menderes (1%) Gazipaşa (1%) Medinah (33%) Tbilisi & Batumi (76%) Monastir & Enfidha (67%) Skopje & Ohrid (1%) Latvia (1%) Service Companies ATÜ (5%) BTA (67%) Havaş (1%) O&M (1%) IT (99%) Security (1%) Tunisia (Monastir + Enfidha) 2.3mn -42% 2.8mn 52% Macedonia (Skopje & Ohrid).8mn 15%.7mn 11% Georgia (Tbilisi + Batumi) 1.2mn 31% 1.1mn 18% Total 52.7mn 11% 53.5mn 35% Impressive organic and inorganic growth Istanbul highest traffic ever TAV Airports share in the domestic market rose by 7 p.p. to 47% EBITDA surge thanks to operating leverage Strong operational and financial performance led to record high 9M bottomline First time dividend payment in

13 TAV Construction Financials & KPI Akfen s Share: 21.67% 211 % 9M12 % Revenue (mn US$) % % EBITDA (mn US$) 32 52% 14-26% EBITDA % 4% 1pp 3.8% 1 p.p. Net Debt (mn US$) 88 83% % Backlog US$1.6bn 12% US$2.8bn 152% Geographical Footprint & Backlog Project Ongoing Projects Country TAV C's Share Contract Value (US$mn) Backlog 9M12 (US$mn) Marina 11 Dubai 1% Doha Qatar 35% 3,917 7 MC1 Oman 5% 1, Tripoli Airport Libya 25% 2, Sebha Airport Libya 5% İzmir Int. Airport TURKEY 1% King Abdul Aziz Airport Saudi Arabia 4% Medina Int. Airport Saudi Arabia 5% Abu Dhabi Airport UAE 33% 2, Total Backlog 12,649 2,816 Recent Developments US$342 US$477 US$7 US$79 Sebha US$331 Medina US$115 o Dubai o King Abdul Aziz o Masqat o AbuDhabi o US$36 US$987 US$222 Operated by third parties Operated by TAV Airports * King Abdul Aziz Airport is operated by third parties. Impressive growth in backlog thanks to new awarded projects such as Izmir Int l terminal, Madinah Int l airport, King Abdul Aziz hangar project and Abu Dhabi Midfield terminal Following the elections in Libya in July, the action plan of the new government with regards to the construction projects is still pending On cost side, surge in personnel and project development expenses Pipeline projects: Abu Dhabi Int l Airport airside works, Qatar, Pearl Tower (AQ-1&2), Dubai, Crystal Tower 12

14 HEPP Group Financials & KPI Akfen s Share: 1% 211 % 9M12 % Revenue (mn US$) 18 1,2% 24 71% EBITDA (mn US$) 11 n.a % EBITDA % 62% n.a. 46% -12 pp Net Debt (mn US$) % 22-6% Operating Capacity (MW) 125 2,19% % as of Development of Energy Portfolio Number of plants Installed Capacity (MW) TOTAL 9M12 OP UC UD OP UC UD TOTAL HEPP I HEPP II HEPP III HEPP IV HEPP V Total OP: Operational, UC: Under Construction, UD: Under Development HEPP I: Beyobasi; HEPP II: Elen, Pak, BT Bordo, Yenidoruk, Zeki; HEPP III: Laleli, Değirmenyanı, H.H.K Enerji, Kurtal; HEPP IV: Ideal; HEPP V: Camlica Project HEPP Projects 9M12 Generation (MWh) 211 Generation (MWh) Commercial Operation Date HEPP I Otluca 135,92 19,631 April 211 Sırma 22,756 8,33 June 29 HEPP I Sum 158, ,934 Karasu 1 7,63 3,935 May 211 HEPP IV Karasu 2 9,562 5,264 June 211 Karasu ,245 1,963 November 211 Karasu 4.3 7,697 3,319 August 211 Karasu 5 13,568 9,543 August 211 HEPP IV Sum 6,134 24,24 HEPP V Çamlıca III 56,59 56,931 April 211 Saraçbendi 47,329 26,866 May 211 HEPP V Sum 13,838 83,797 HEPP II Demirciler 1,359 - August 212 HEPP II Sum 1,359 Total 324,7 225,756 HEPP Group: Recent Developments 11 HEPPs fully operational (with 616 GWh/yr generation capacity) leading to a visible increase in electricity generation 7 HEPPs sold electricity at state guarantee of US$cent generation reached 414 MWh, up by 84% YoY 2 HEPP projects with 24 MW installed capacity added to HEPP III portfolio On % of HEPP IV sold to Aquila EUR23mn 13

15 Mersin Natural Gas Combined Cycle Power Plant Project Long term Electricity Demand TWh Low Demand High Demand Sector Dynamics The Turkish electricity market is the 6th largest in Europe and demand is expected to grow between % annually between Per capita electricity consumption is relatively low in Turkey and is projected to rise notably going forward (211:3.1MWh, 213F: MWh). Electricity prices are expected to remain robust given excess demand and market liberalisation. Demand for natural gas has grown at 1% CAGR since 24. Consumption reached 44.1bcm in 211. Turkey offers to be an energy bridge by having an exceptional geographic and strategic location, and being one of the largest energy consumption and generation platforms in the region. Plant Location Mersin CCGT Developments Asset sale agreement for the 58, sqm land signed with for TL4.6mn. The land is located 4.5km east of the Mersin Port and 12 km distance to Tarsus Organized Industrial Zone and located near by the sea. Capacity expansion from 45MW to 57MW was approved by EMRA, applied for a further increase to 1,148.4 MW on 18 December 212. Tractabel as technical advisor, Odin as financial advisor mandated, Negotiations with EPC suppliers and with potential equity/strategic investors as well as discussions with the banks continue Substation works on the site and other preparatory works are ongoing 14

16 IDO Financials & KPI Akfen s Share: 3% 211 9M12 % Revenue (mn US$) % EBITDA (mn US$) % EBITDA % 32% 34% -3 p.p. Net Debt (mn US$) % Passengers transported 53mn 39mn -6% Vehicles transported 8mn 6mn 2% Quick Facts Sea transport business with strong entry barriers. Transported a total of 51 million passengers and 7.7 million vehicles in 212. A modern fleet of 54 vessels with a capacity over 32.7K passenger and 3K vehicles. Unregulated tariff regime for 88% of revenues. Upside potential: New routes, F&B, Advertisement, Optimization and Ambarli Land. Optimization of current lines and trip scheduling PROGRESSING Fast Ferry ferry lines Lines Conventional Ferry ferry lines Lines Sea Bus bus lines Lines IDO Lines Ambarlı Land Recent Developments Passenger numbers still down YoY; o caused by adverse weather conditions and o negative effects of dynamic pricing system: pricing system simplified in July due to customers discontent 9M12 EBITDA margin up by 7 p.p. from 27% in 1H12 New Revenue Streams: o BTA served 7.8mn passengers at 65 selling points as of end- 9M12 o Sea&drive, car rental service launched in October in cooperation with Avis and Budget 15

17 Akfen REIT Financials & KPI Akfen s Share: 56.1% 211 % 9M12 % Revenue (mn US$) 17 34% 14 5% EBITDA (mn US$) 1 25% 8-2% EBITDA % 61% -5pp 63% -5 pp. Net Debt (mn US$) 147 8% 157 7% T-Rev par ( ) 48 23% 52 6% Evolution of Income & EBITDA 4, 3, 2, 1, Evolution of Room Capacity , , , , , , ,43 1, Turkey Cyprus Russia # of Hotels Recent Developments (mn US$) % 57.9% % 68.1% % M12 LTM Revenue Adjusted EBITDA EBITDA Margin With the recent opening of Esenyurt Ibis hotel room capacity reached 2,47 and number of hotels 14. Average occupancy rate continued to improve and reached a level of 66% In May, 2- year rental agreement for the Mercure Hotel in Northern Cyprus signed Construction permit for the 2 room hotel project in Karakoy-Istanbul obtained in August hotel project in Turkey and 1 in Russia is under construction and another 2 is under planning stage. On 2 December 212, renewed agreement, raising lease income, signed with Accor 16

18 Akfen Water Financials & KPI Akfen s Share: 5% 211 % 9M12 % Adj. Revenue (mn US$)* % 4-7% Gulluk Dilovasi Adj. EBITDA (mn US$)* % 2-11% Adj. EBITDA % 46% 21pp 49% -1 pp Start date Aug-26 Apr-28 Net Debt (mn US$) 13. 2% 11-17% Term 35 years 29 years 6, Gulluk Invoiced Water & Subscriber # 6, m3 Counterparty Municipality Industrial Zone Management 5, 4, 3, 5, m3 4, m3 3, m3 Concession fee Fixed annual concession fee and revenue sharing BOT 2, 1, , m3 1, m3 - Subscribers 5,451 OIZ member factories (211 factories ) Invoiced Water (m3) Subscriber * Adjustments made for guaranteed revenues and IFRIC12 17

19 Turkey: A full Pipeline of Investment Opportunities Turkey has huge infrastructure needs in all sectors especially utilities, transportation and health. Large parties of infrastructure assets are controlled by state-owned companies. Stable economic and political environment strengthened the capital base of Turkish companies and attracted foreign investors, as a consequence investment in infrastructure became very competitive leading to competitive biddings with high multiplies being paid. Infrastructure developers struggling to raise funds for mega projects, with international banks reluctant to finance and a non-existing bond market. 18

20 Macro Indicators GDP PER CAPITA (US$) FOREIGN TRADE (EXPORT) (bn US$) 3, 25, 2, 15, 1, 5, 23,248 CAGR:9% 2.2X 3X 1,444 3, CAGR:13% 51.5 CAGR:13% Exports Imports 625 Source: TURKSTAT Source: TURKSTAT POPULATION URBANIZATION (mn) % 72% 71% 7% 69% 68% 67% 69% 69% 73% % Source: TURKSTAT Source: World Bank Turkey s macro indicators stimulating growth in infrastructure 19

21 % 1Q9 2Q9 3Q9 4Q9 1Q1 2Q1 3Q1 4Q1 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 Turkey - Macro Outlook Macroeconomic Framework Government Projections - Medium Term Plan Growth 3.2% 4% 5% 5% Inflation 7.4% 5.3% 5% 5% Budget Deficit / GDP 2.3% 2.2% 2% 1.8% Debt Stock / GDP 36.5% 35% 33% 31% CA Deficit / GDP 7.3% 7.1% 6.9% 6.5% Turkish Economy reached a more balanced but a slower economic growth in 212. According to the governments projections Medium Term Plan ; o growth is set to improve in 213 thanks to domestic demand from 3.2% in 212 to 4% o Inflation is expected to slow down to 5.3% in 213 from 7.4% o Outlook Also a YoY decline in budget deficit/gdp to 2.2%, debt stock/gdp to 35% and CA deficit/gdp to 7.1% expected in GDP & Private Consumption Rate of Change GDP PC Investment Grade theme Turkey s sovereign grade rating has been upgraded to investment grade by Fitch in November 212. o o expectations regarding further upgrades continue Turkey s current sovereign ratings are; Fitch: BBB- (stable) Moody s: Ba1 (positive) Standard & Poor s: BB (stable) Macro prudential policies led to an improvement in external imbalances as well as the C/A deficit; o CBRT set to continue with monetary easing and o interest rates to remain low in

22 İstan bul Airpo rt BOT Priviti satio n of Mersi n Port Rene wal of Atatü rk Airp Pipeli ne Proje cts Turkey Investment Requirement & Deal Sizes US$36mn US$755mn US$3,mn Deal Sizes >US$3,mn To meet Goverment s 223 targets: USD 13 billion is required for energy investments USD 5 billion is required for tollroad investments USD 25 billion is required for railways USD 12 billion is required for water and wastewater treatment USD 1 billion is required for solid waste treatment USD 1 billion is required for hospitals İstanbul Airport BOT Privatisation of Mersin Port Renewal of İstanbul Atatürk Airport Concession Privatization of Toll Roads 3rd Bridge & Motorway Electricity Generation Assets Ankara İzmir High Speed Railway Utility Distribution Assets Over US$3 billion of capital investment required in the next 1 years 21

23 Investment Landscape - What lies ahead? Observations on Recent Privatizations Akfen Strategy Prices have gone up significantly o still, indications regarding higher price expectations by the government No project finance available from international banks In overpriced transactions, Turkish banks require higher equity contribution and corporate guarantee for financing Akfen will continue to pursue privatization opportunities Over the next 1 years over US$3bn capex required for BOT projects according to government s 223 targets Private businesses with concession/monopolistic nature are in the radar of Akfen Akfen would seek to acquire businesses/projects at development stage in order to leverage its execution capability, financing strength and relationship network The privatizations Akfen might show interest are; İzmir Port, IGDAS, Tollroads and Baskent Gaz (if retentered) Significant concession opportunities could arise at the municipality level (water treatment, waste management, etc.) 22

24 Greenfield Project Hospital PPP: Isparta Health Campus Isparta City Hospital General Hospital 45 beds Woman s and Children s Hospital 35 beds TOTAL 755 beds Total Construction Area 197,649.1 m 2 Commercial Area 55, m 2 Isparta City Hospital General Information Ministry of Health, Department of Public Private Partnership has launched tenders for the Construction and the Provision of Products and Services for City Hospital through PPP Model. While the construction period defined in the tender documentation varies from project to project (Isparta 2 years), operation period of the Hospital PPP projects are 25 years. After the construction is finalized the Ministry starts to pay TL denominated rent payments called Availability Payments throughout the 25-years operation period. The Ministry also asks bidders to provide monthly lump sum fix price offers for the 19 services, which include services covering in and outside of the hospital building (e.g. imaging, laboratory, sterilization, laundry, security, rapair&maintenance, etc.) Contractor can also construct and operate the commercial spaces. Project Details The reverse auction for the Isparta City Hospital tender took place on Akfen Construction submitted the best all inclusive yearly price of all inclusive yearly price of TL52.25mn Prior to the final decision Administration has the right to bargain with the best bidder The tendered project consists of the construction of the 755-bed Isparta City Hospital against a lease payment and the provision of products and services for a period of 25 years. 23

25 Greenfield Project - Real estate: Incek Loft Project Information Incek Map Project Start Project Completion Construction Time 36 months Land Area m 2 Total Construction Area m 2 Number of Houses 947 Incek Loft Project Details New development project in Ankara Incek 18 acres of land is located on the land of an old mine. Project location offers a fine view of Lake Mogan. Planned investments amount to approximately TL3mn. Design of the project is carried out by Tabanlıoğlu Architectural Co. Project Details: 2-29 folded 6 blocks Villa or town house style duplex or multi-user 4-storey low-rise apartment block of 1 7, m² of trading area, social facilities and bazaar 24

26 1,6 1,4 1,2 1, Financial Overview Net Debt Evolution (mn US$) 1,485 1,133 1,177 1, M12 Net Debt Net Debt / EBITDA* Net Debt Evolution Allocated at Project Generated EBITDA (mn US$) 1,6 1,4 1,2 1, ,92 1, , M12 Net Debt Net Debt / EBITDA* 4.95 (mn US$) Debt Allocated at Projects under Development Not Generating EBITDA M12 Total Deductions (mn US$) Akfen REIT includes Samara projects debt. TAV includes Enfidha Airport s debt Akfen Water includes Dilovası Debt HEPP1 includes all projects debt REIT includes Yaroslavl, Samara projects & Gaziantep, Kayseri, Bursa projects debt HEPP1 includes all projects debt REIT includes Yaroslavl, Samara projects & Adana, Esenyurt, Izmir projects debt TAV includes Macedonia projects debt HEPP2 includes all projects debt REIT includes Samara projects & Beylikduzu, Izmir & Adana projects debt HEPP2 excluding Demirciler REIT Samara Office, Kaliningrad, İzmir, Beylikdüzü TAV Madinah Project 25 * LTM EBITDA was used when calculating 9M12 Net debt/ebitda

27 Financial Overview (mn US$) 6, Financial Position 571 5, 4, 3, 2, 1, 224, , ,552 74, ,362 64,9 67,823 45,576 64,57 69, ,33 116,574 32,31 6, Akfen Holding Debt (Solo) Akfen Holding IDO/HEPP/GYO/Akfen Cons. TAV Holding/TAV Investments/MIP/Akfenwater Fixed and Floating Debt Mix Consolidated Debt Akfen Holding Gross Debt FX Distribution Gross Debt Currency Breakdown Consolidated Gross Debt FX Distribution Floating 75% Fixed 25% Floating 49% Fixed 51% FX 5% TL 5% FX 9% TL 1% Financial Data as of 9M12 26

28 Financial Overview Interest Rate Risk Analysis Currency Risk Analysis (mn US$) (mn US$) 8, 6, 6,9 8, 6, 6,446 4, 2, -2, -4, -2,191 2, % 2 +1% 4, 2, -2, -4, % % 2-6, -8, -6,9-6, -8, -6,446 Akfen Holding Consolidated Akfen Holding Consolidated Revenue TL/FX Ratio Cash and Cash Equivalents TL/FX Revenue FX Position COGS FX Position Akfen Holding Consolidated 27% 73% FX TL 36% 64% FX TL 7% 3% TL FX 77% 23% TL FX Financial Data as of 9M12 27

29 Appendix: Company Overview - Board of Directors Chairman Hamdi Akın Hamdi Akın founded Akfen Holding, active in construction, tourism, trade and service sectors in In addition to serving as the Chairman of the Board of Directors at Akfen Holding, in 25, he also became Chairman of TAV Airports Holding of which he is a founder and a shareholder. Mr. Akın also carried his dynamism and hard work in business to volunteer efforts and non-governmental organizations as a manager and founder of many societies, foundations, chambers of commerce. He has served as Vice President of Fenerbahçe Sports Club, MESS-Metal Industrialists Union President of Ankara Regional Representatives Council, President of TÜGİAD-Turkish Young Businessmen s Association, on the Board of Directors of TİSK-Turkish Confederation of Employers Associations, the Board of Directors of TÜSİAD-Turkish Industrialists and Businessmen s Association and has also served as the President of Information Society and New Technologies Commission. Executive Member İrfan Erciyas Irfan Erciyas worked as Vice General Manager between and as General Manager between at Türkiye Vakıflar Bankası. He joined Akfen Holding in 23 as Vice Chairman of the Board of Directors. Şaban Erdikler served in the public sector for six years and later joined Arthur Andersen as a Tax Manager. In 1992, he became the Chairman of the Board of Directors and General Manager at Arthur Andersen Turkey; in 1994, he assumed responsibility over Balkan countries. Independent Member Şaban Erdikler He is Executive Manager at Akfen Holding since 21 and is also Chairman of the Board of Directors, Vice Chairman and Member of Board of Directors of several subsidiaries and affiliates of Akfen Holding. In 21, he organized the Turkish section of Andersen under Ernst & Young. He chaired the Board of Directors at Ernst & Young Turkey for approximately two years. In 24, he founded Erdikler Yeminli Mali Müşavirlik Limited Şirketi. Vice Chairman Selim Akın Board Member Pelin Akın Selim Akın served as Surrey University Turkish Association President in 25-26, is a member of the Turkish Young Businessmen s Association (TÜGİAD), Turkey Anatolian Employees and the Turkish Construction Employers Union. Mr. Akın started his career at Akfen Holding Accounting Department and served in Project Development and Finance Departments. As future director of Akfen Holding, he serves as member of the Board at Akfen Holding and various subsidiaries. Pelin Akın started her career in the Strategy department within the Finance department of Deutsche Bank s Madrid office and later joined the MT program of TAV Airports. She currently serves as a Member of the Board at Akfen Holding. Nusret Cömert started his career in 1984 at Shell Company Turkey to become Planning and Economy Manager in 1989, Aegean and Mediterranean Regional Manager in 1994, Sales Manager in 1995 and Shell International Gas and Power Ltd. London Business Development Manager in In 1998, he became General Manager of Shell EP and Gas Turkey BV and was appointed Executive Director in 22. Currently he is the Chairman of Shell Energy A.Ş. He was the pioneer name behind the signing of the agreement of Royal Dutch Shell s partnership with TPAO in November 211. Independent Member Nusret Cömert She takes place in different groups of both Spanish Business Council and British Business Council of DEIK, is a member of the Board of Trustee and the Board of Directors at TİKAV, is Vice President of Duke of Edinburgh's Award-Turkey, Chairwoman at the Advisory Board of the Contemporary Turkish Studies Chair founded in London School of Economics and a member of the Young Executive Businessman Association (GYİAD). Please find detail information under: 28

30 Appendix: Company Overview - Management Board of Directors 7 Members 6 Members Corporate Governance Committee Independent Audit Committee CEO Süha Güçsav Mr. Güçsav who started his career in 1992 in Alexander&Alexander Sigorta Brokerliği A.Ş., worked as Financing Group President and Chief executive Officer in Akfen where he started to work in He worked as Vice Chairman of Akfen Holding Board of Directors in Mr. Güçsav who was member of the Board in Akfen Holding between March 21 - May 212, is the CEO of Akfen Holding since March, 21. Additionally, he is the Chairman of Akfen REIT and Akfen Water, and member of Board in TAV Havalimanları Holding A.Ş., Mersin Uluslararası Liman İşletmeciliği A.Ş. and Akfen Enerji Yatırımları Holding A.Ş. CFO Kadri Samsunlu Chief Legal Counsel Sıla Cılız İnanç Mr. Samsunlu serves as Assistant General Manager at Akfen Holding and Board member at various subsidiaries. Mr. Samsunlu began his professional career as a Financial Analyst at Türkiye Sınai Kalkınma Bankası and served in various positions between 1995 and 26 as General Manager and a Board member at Global Holding and its subsidiaries. Before joining Akfen Holding at the beginning of 29, he spent three years in Romania and Turkey as an investment and corporate finance advisor. Ms. İnanç joined Akfen Holding in She took part in Public Private Partnership projects in Turkey, focusing on mergers and acquisitions, competition law procedures and the secondary legislation studies of the Public Tender Law. She worked at every stage of build-operate-transfer projects and privatizations in which Akfen and its subsidiaries participated. Her work concentrates on administrative law, concessions and transfer of rights, construction contracts, FIDIC contracts, energy law with special emphasis on renewable energy and the electricity market and corporate law. She also serves on the Board of various Akfen Holding subsidiaries. 29

31 Appendix: Akfen Holding - Analyst Coverage Company Analyst Ak Yatırım Hakan Deprem hakan.deprem@akyatirim.com.tr BGC Partners Kerem Tezcan ktezcan@bgcpartners.com Burgan Securities Murat İğnebekçili murat.ignebekcili@burganyatirim.com.tr Eczacıbaşı Menkul Değerler Behlül Kataş behlulk@ekspresinvest.com Ekspres Yatırım Alper Akalın alper.akalin@ekspresinvest.com Erste Securities Istanbul Sezai Saklaroğlu sezai.saklaroglu@erstegroup.com Finans Yatırım Gaye Abidin gaye.abidin@finansinvest.com Goldman Sachs Eshan Toorabally / Matija Gergolet / Aslı eshan.toorabally@gs.com / matija.gergolet@gs.com / Tuncer asli.tuncer@gs.com İş Yatırım Başak Dinçkoç / Mustafa Küçükmeral bdinckoc@isyatirim.com.tr / mkucukmeral@isyatirim.com.tr Oyak Yatırım Hasan Şener hasan.sener@oyakmenkul.com.tr Renaissance Capital Alex Kazbegi / Igor Petrov akazbegi@rencap.com / ipetrov@rencap.com Ünlü & Co Selin Öner selin.oner@unluco.com Yapı Kredi Yatırım Özgür Göker ozgur.goker@ykyatirim.com.tr 3

32 Appendix: Akfen Holding - Project Finance Details Participation Funding Details Purpose Date Istanbul Ataturk Airport Tav Airports US$65mn non-recourse finance from HypoVereinsbank September 1999 International Terminal BOT project Akfen REIT MIP Akfen Energy 9 Loans from Isbank totalling EUR73.6mn Zeytinburnu, Eskisehir, Gaziantep, Kayseri, Trabzon, Bursa, Adana, Beylikduzu, Izmir hotels between Loans from ING and Türkiye Kalkınma Bankası totalling TNRC Cyprus Hotel EUR17.2mn between Loans from CEB totalling EUR34mn Russia Hotels 28 US$6mn long-term non-recourse project finance from ABN Amro, Unicredit (HBV), GE/Garanti, Is Bankası, and TSKB + US$ 1 mio Mezzanine Finance with Corporate Acquisition of MIP 27 Guarentee EUR 98.8 mn non-recourse senior loan from a consortium of Denizbank, Turkiye Sinai Kalkınma Bankası, Yapi Kredi Bankası, Is Bankası Non-recourse finance of EUR144.5mn senior loan and EUR16.7mn VAT loan from a consortium of Denizbank, Turkiye Sinai Kalkınma Bankası, Yapi Kredi Bankası, Finansbank, Is Bankası Akfen Hidroelektrik Santrali Yatırımları A.S. (HEPP2) Akfen HES Yatirimlari ve Enerji Üretim A.S. (HEPP1) May 21 March 29 Akfen Water 2 long-term senior loans with EBRD for EUR16mn* Gulluk and Dilovasi Projects October 21 IDO TuvTurk Egeport Long-term debt facility of US$7mn and short-term debt facility of US$5mn from Garanti Bank, Vakifbank, Is Bankasi, TSKB and Denizbank** Senior loan facility Tranche A of US$352mn from ABN Amro and Unicredit Senior loan facility Tranche B of US$2mn from ABN Amro and Unicredit Long-term debt facility of US$2mn from Sekerbank, later refinanced with IFC Acquisition of IDO June 211 Concession Payment December 27 Operation Right of Istanbul Concession Egeport 23 December 27 * 1.5 mio EURO for Dilovası, 2.5 mio EURO for Gulluk utilized. Remaining avaliable amount (3 mio EURO) is not utilized and cancelled. ** End 3Q11 part of US$1mn of senior debt assigned to EBRD, short term debt paid back; remaining debt of US$65mn as long term facility and US$5mn mezzanine facility from EBRD 31

33 Disclaimer This presentation (the Company Presentation ) is not and should not be considered as a recommendation by Akfen Holding A.Ş., (the Company ) or any other person in relation to the Company, nor does it constitute and should not be considered as an invitation or an offer to purchase securities of the Company or any of its assets. This Company Presentation is confidential and is solely for the use of the directors of the interested parties (the Recipient ). The Recipient agrees to keep confidential the information contained herein. In addition, this Company Presentation may not be photocopied, reproduced or distributed to others in whole or in part at any time without the prior written consent of the Company. Upon request, the Recipient will promptly return or destroy all material received from the Company (including this document) without retaining any copies, excerpts or Recipient made summaries thereof or work derived there from. The issue of this Company Presentation shall not be taken as any form of commitment on the Company, or any other person in relation to the Company to proceed with any transaction nor shall its contents form the basis of any contract. The information contained herein has been prepared to assist interested parties in making their own evaluation of the Company and does not purport to contain all of the information that the recipient may desire or require to make a decision to proceed with further investigation of the Company. Interested parties should conduct their own investigation and analysis of the Company and the data and no representation or warranty, whether express or implied, as to the accuracy or completeness of this Company Presentation is made or given by the Company, or any other person in relation to the Company and, except in the case of their own fraudulent misrepresentation, the Company shall have no liability for any other representations (express or implied) contained in, or for any omissions from, this Company Presentation or any other written or oral communication transmitted to the Recipient in the course of the recipient s evaluation of the Company. This Company Presentation includes certain statements, estimates and projections provided by the Company with respect to its anticipated future performance. Such statements, estimates and projections reflect various assumptions made by the Company concerning anticipated results, which assumptions may or may not prove to be complete, correct or accurate. This notice shall be governed by and construed in accordance with Turkish Law. By accepting this Company Presentation, you agree to be bound by the above conditions and limitations. 32