London – The European Bank for Reconstruction and Development (EBRD) is providing a $150-million (€133-million) long-term loan to Brisa Bridgestone Sabancı Lastik Sanayi ve Ticaret AS, for the construction of a second plant in Aksaray, Turkey.
Brisa – a joint venture between Turkish industrial and financial conglomerate Hacı Ömer Sabancı Holding and Japan’s Bridgestone Corp. – will also use part of the loan proceeds to help production of truck and bus tires at its Izmit plant, EBRD announced 23 Aug.
Located in the central Turkish city of Aksaray, the new greenfield facility is to produce tires for passenger cars and light commercial vehicles, under the Bridgestone and Lassa brands.
Rated at 4.2 million units/year, the plant is due on stream in early 2018 and is expected to employ 550 people. It is to become the Brisa’s strategic hub, serving the growing market in Turkey and neighbouring countries.
Europe’s seventh largest tire manufacturer, Brisa was established in 1988 by Bridgestone and Sabanci to operate Sabanci's Lassa Tyres plant in Izmit.
Since forming the JV, Brisa has invested over $1 billion in Turkey, according to Yiğit Gürçay, CEO of Brisa, who stated: “While our country faces important developments and fluctuations, to continue the company’s investments as planned is a significant message of trust.
“Being one of the leading international financial institutions, the EBRD’s decision to trust in Turkey and Brisa despite the current conditions and provide a US$ 150 million loan with convenient terms is truly encouraging and promising.”
“This EBRD loan is not only helping a tire manufacturer expand its business and capture market growth. It is also enabling a leading global player and a local business giant to create jobs and opportunities in one of the developing regions of the country. ,” added Jean-Patrick Marquet, EBRD director for Turkey.