YILDIRIM HOLDING
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YILDIRIM Group of Companies is a vertically integrated Turkish industrial conglomerate based in Istanbul, Turkey. The company currently operates in 8 industries: metals and mining, coal and coke, energy, fertilizers and chemicals, port management, shipping and logistics, construction and real estate, and financial investments.
The foundation of YILDIRIM Group dates back to 1963, when Garip YILDIRIM established a modest construction material trading company called GARIP YILDIRIM&SONS in Samsun. Since its founding, the company has continuously broadened its focus through new subsidiaries; thanks to years of entrepreneurism and constant innovation, it has evolved into an industrially diversified group of companies as well as one of the fastest-growing Turkish industrial groups. The second generation has been active in the company’s operations since 1980.
Since 2008, when YILDIRIM Group made its first international acquisition in Sweden, the company has grown into a global force with operations in 51 countries on 4 continents and over 13.000 employees worldwide.
YILDIRIM GROUP MARKET POSITIONS
Metals & Mining • #1 chrome ore producer in Turkey • #1 hard lumpy marketable chrome ore exporter in Turkey • Only high quality high carbon ferrochrome producer in Turkey • #1 high quality marketable chrome ore producer in the world • #2 high carbon ferrochrome producer in the world • #4 in the global chromium industry
Port Management • #1 state-of-the-art container terminal operator in Turkey • #12 International Container Terminal Operator in the world • #10 International Port Operator in the world
Coal & Coke • #1 coke importer in Turkey • #2 sized coal importer in Turkey
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Some of YILDIRIM HOLDING's known and affiliated companies:
VOSKHOD CHROME
In 2013, YILDIRIM Group made headlines in the international mining community when it acquired the chrome assets of Russian mining company Mechel, including the Voskhod assets situated in northwestern Kazakhstan. Voskhod Chrome is comprised of a state-of-the-art underground mine and a modern ore processing plant. The mine’s proven reserves are approximately 20 million tons with a chrome/iron ratio of 3.5:1-3.8:1, one of the highest in the world. Voskhod Chrome currently has an annual chrome ore production capacity of 1.3 million tons. In addition to providing chrome concentrate for chrome chemical, chrome metal and low carbon ferrochrome producers, the company also sources raw materials for Tikhvin Ferroalloy in Russia. Voskhod Chrome’s current beneficiation utilization is 1 million tons of raw ore, with a capacity of 1.5 million tons.
TIKHVIN FERROALLOY
Acquired by YILDIRIM Group in 2013, Tikhvin Ferroalloy (TFZ) is one of Russia’s biggest producers of high carbon ferrochrome with a chrome content of over 68.5%. Located in the town of Tikhvin to the southeast of St. Petersburg, the plant accounts for 30% of the country’s high carbon ferrochrome production volume. TFZ is equipped with 4 arc furnaces and has an annual high quality high carbon ferrochrome production capacity of 130,000 tons, with a slag recovery rate of 10,000 tons per year. As a relatively young plant launched in April 2007, TFZ is also renowned for being the most modern ferroalloy plant in the Commonwealth of Independent States (CIS). Following the acquisition of TFZ, YILMADEN became the 4th largest producer in the global chromium industry and reinforced its position as the world’s 2nd largest producer of high quality high carbon ferrochrome. The addition of Russia to the production chain carried out in Sweden and Turkey made YILMADEN the only global player to produce high carbon ferrochrome in 3 different countries in order to hedge political, economic and other risks for its long-term customers around the world. The consolidation of the production facilities at Eti Krom, Vargön Alloys and TFZ under one roof has enabled YILMADEN to respond to vastly different demands from its customers in terms of high carbon ferrochrome product diversity.
VARGÖN ALLOYS
Established in 1874 in Vargön, Sweden, Vargön Alloys is one of the oldest ferroalloys producers in the world that has over 100 years of experience and know-how. Following its acquisition of Vargön Alloys in 2008, YILDIRIM Group made large-scale improvement and capacity increase investments at the plant. Vargön Alloys boasts 4 arc furnaces, including one of the largest in the world. The company’s annual high quality high carbon ferrochrome production capacity is 255,000 tons, with a slag recovery rate of 25,000 tons per year. The proximity of Vargön Alloys to ports and its access to suitable highway and railway options create a logistical advantage for the company. Thanks to its efficient transportation network, products can be delivered to customers and warehouses in the least amount of time.
ETI KROM
The world’s biggest hard lumpy marketable chrome ore producer, Eti Krom Inc. was founded as a state enterprise in the eastern Turkish province of Elazig in 1936. The company was acquired by YILDIRIM Group via privatization in 2004. Thanks to its well-developed underground mines, Eti Krom is the only chrome ore supplier in Turkey that can extract chrome ore all year round, including during the harsh winter season. The company has also made a name for itself with its excellent technical expertise in chrome ore beneficiation. Eti Krom has over 130 million tons of reserves and 22 licenses for mostly underground mines throughout the country, which are used to produce 1 million tons of chrome ore on average each year. The company is able to produce metallurgical (hard lumpy and concentrate) and refractory (hard lumpy and friable) ore grades. Eti Krom exports the high grade chrome ore extracted in various parts of Turkey in hard lumpy and concentrate form. Since 1976, Eti Krom has also been the only high carbon ferrochrome producer in Turkey. Following YILDIRIM’s acquisition, the idle furnaces were revamped and the plant was modernized to meet the growing demand for high quality high carbon ferrochrome. With 4 arc furnaces, Eti Krom’s fully integrated ferrochrome plant is able to utilize the high-grade chrome ore extracted from its own mines to produce 165,000 tons of high quality high carbon ferrochrome each year, with a slag recovery rate of 15,000 tons per year. Thanks to its wide variety of raw material supply, Eti Krom is able to deliver tailor-made products for special applications.
YILMADEN HOLDING
YILMADEN Holding was established in 2014 in order to consolidate YILDIRIM Group’s metals and mining subsidiaries under one roof. The Holding is currently comprised of 5 companies in 4 countries: Turkey, Sweden, Kazakhstan and Russia. Together, these subsidiaries make YILMADEN the 4th biggest player in the global chromium industry as well as the only company to produce chrome ore and high quality high carbon ferrochrome (HC FeCr) in 4 countries.
YILMADEN’s focus is on exploring, mining and processing mineral resources with minimal impact on the environment. The Holding exports top-quality materials to customers in more than 30 countries via well-located distribution centers all over the world. Headquartered in Istanbul, Turkey, YILMADEN actively engaged in many projects in Europe and Asia-likewise, YILMADEN plans to expand its global network to include Africa and Latin America. The Holding continues to hunt for international opportunities and investments to develop its capabilities and productivity while placing sustainability at the heart of all its strategies, decisions and actions.
YILKROM
Founded in 2007 by YILDIRIM Group, YILKROM Mining and Energy Investments Inc. offers both local and international investors the chance to partner with YILMADEN’s experience and know-how in the mining industry. The company currently holds nearly 20 exploration and mining licenses corresponding to an area of over 180 square kilometers throughout Turkey. Although most of these licenses are for chrome ore, the company also holds licenses for lead, zinc, iron and barite sites. YILKROM has commenced detailed exploration activities that comply with international standards for all of its sites with exploration licenses.
BEAR METALLURGICAL COMPANY
Yilmaden Holding extended its scope of business and products in ferroalloys industry by acquiring Bear Metallurgical Company (BMC) in September 2016 from Eramet Group of France. Founded in 1990, Bear Metallurgical Company is located on 18,210 square meters of land, and the company is active in Butler City close to Pittsburgh, PA in the United States. BMC is the leading producer and toll processor of high-grade ferrovanadium (FeV) and ferromolybdenum (FeMo) with guaranteed yield back to the clients. The company caters high-purity ferroalloys for the specialty steel for automotive and foundry industries. The plant produces up to 85% grade FeV, and up to 70% grade FeMo. It also keeps aluminum and sulfur content at a minimum. The company performs toll conversion of vanadium oxide to ferrovanadium (FeV) and the conversion of molybdenum (FeMo) using thermite process. The production capacity is over 9000 tons per year. The company uses petrochemical catalysts and recycled slag as raw materials. Typical sizing is 50x18 millimeters.
YILFERT HOLDING
YILFERT Holding is the number 1 producer of CAN fertilizer and ammonia in Turkey, and the third trader of fertilizers and chemicals (CAN, AN, DAP, AS, Urea) in Turkey
GEMLIK GUBRE
Established as a government enterprise in 1973, Gemlik Gubre Inc. was acquired by YILDIRIM Group via privatization in 2004. Following this investment, the company has become one of the top fertilizer producers in Turkey as well as the country’s biggest producer of CAN (calcium ammonium nitrate) fertilizer and ammonia. At its expansive factory spread out over 1 million square meters in Gemlik, Bursa, Gemlik Gubre manufactures CAN 26% N fertilizer, AN 33% N (ammonium nitrate) fertilizer, ammonia and 55% nitric acid. Gemlik Gubre is the biggest exporter of CAN and ammonia as well as one of the top traders supplying urea, CAN, AN, DAP (diammonium phosphate), NPKs and AS (ammonium sulfate) via its exemplary, well-established dealership system. With its newly built port as well as its warehouses located all over Turkey, Gemlik Gubre boasts an extremely efficient logistics system, which enables it to act fast in the face of changing market conditions.
YILKEM
YILKEM is established in 2013 to provide chemical product storage, trade and distribution services in Turkey and the regional market. YILKEM develops regional strategies in order to fulfill its vision of offering “high-quality and affordable" product continuity. The company collaborates with well-known international brands and procures products regularly from the European, American, Asian and Middle Eastern markets. YILKEM benefits from the synergistic capabilities of YILDIRIM Group subsidiaries, efficiently utilizing the warehousing facilities in the Marmara Region terminals of YILPORT Holding, the world’s second fastest growing international terminal operator; the national and international distribution network of Eti Logistics; and the transportation strength of YILMAR Holding, which has a fleet of 11 chemical tankers and 10 general cargo and dry bulk vessels. Many of the chemical product suppliers who already hold a considerable market share in Turkey do not hold YILKEM’s advantageous position or have the synergistic support of YILDIRIM Group. By making use of its assets and the strong image of the YILDIRIM Group brand, YILKEM is successful in attracting international producer and trader firms for collaboration in the Turkish market.
YILYAK
Yilyak is the first met coke & nut coke importer and trader, and the second sized coal importer in Turkey. One of YILDIRIM Group’s oldest subsidiaries, YILYAK Solid Fuel Marketing & Trading Inc. was established in 1994. The company is an expert in the import and domestic distribution of sized coal for domestic heating from Russia, Ukraine, South Africa and Mozambique. YILYAK is also one of the top providers of coal (steam coal, PCI and coking coal) as well as metallurgical coke, coke breeze and anthracite from Russia, Ukraine and Colombia for the cement, sugar and steel industries in Turkey. YILYAK distributes its products throughout Turkey from its 4 warehouses in Samsun, Trabzon, Gebze and Iskenderun. One of the most important factors behind YILYAK’s success as a market leader is its reputation as a steady supplier for its customers, whose trust the company has earned with over 20 years of experience and customer-focused service.
YILDIRIM ENERGY HOLDINGY
The founding of YILDIRIM Energy Holding dates back to the year 2010, when YILDIRIM Group established YILDIRIM Energy Investments Inc. in order to invest in power plants both in Turkey and abroad. In August 2013, the Group consolidated its energy subsidiaries formed as special purpose companies under the umbrella of YILDIRIM Energy Holding Inc. YILDIRIM Energy Holding covers a wide portfolio of both renewable energy-sourced and cleaner fossil fuel-based power plant investments. The company’s focus is on cleaner thermal power plants with capacities ranging from 200 MW to 5,000 MW, as well as renewable sources such as wind and hydroelectric power plants with capacities ranging from 50 MW to 500 MW. The advantage YILDIRIM Energy brings to the global power markets is the ability to benefit from YILDIRIM Group’s “one-stop-shop” approach while combining the synergistic resources of its sister companies within the Group. In the case of thermal power plants, YILDIRIM Energy will be a top performer in efficiently delivering high-quality, low-cost and low emission power services via YILDIRIM Group’s internal businesses covering its metals and mining, cleaner coal and coke, shipping, port management and logistics divisions, thus controlling the entire supply chain.
YILPORT HOLDING
YILPORT Holding was established in August 2011 to combine the port and container terminal operations of YILDIRIM Group under one roof. The Holding has a portfolio of 4 terminals in Turkey, 7 in Portugal, 2 in Spain, 1 in Peru, 1 in Malta, 1 in Norway, and 2 in Sweden. YILPORT’s portfolio has an estimated value exceeding USD 2 billion, with the capacity to handle over 5.68 million TEUs in containers, 16 million tons of dry bulk and general cargo, 1.65 million cubic meters of liquid cargo as well as a RORO capacity of 700,000 CEUs.
The overall aim of YILPORT Holding is to create world-class, multipurpose facilities on an international scale. This vision is powered by the company’s growth strategy to become a top 10 global port operator by 2025. The numbers indicate that the company is well on its way to achieving this target, as YILPORT Holding was the 2nd fastest-growing International Terminal Operator (ITO) in the world in 2015. In order to be highly competitive and to enjoy sustainable profitability in today’s business environment, YILPORT Holding’s port interests are diversified when it comes to cargo and customer portfolios. The company’s Turkish terminals are market leaders in handling containers, bulk, liquid, general and project cargo YILPORT has also promoted the expansion of services that include trucking, mineral storage and loading, warehousing, container feeder vessel service and more. YILPORT Holding has taken a fresh look at operating and investing in ports worldwide. The company has successfully managed rapid expansions by establishing an international team backed by centralized support systems and by applying intense focus on training. YILPORT’s domestic strength as a multipurpose port operator focused on serving industry has set the foundation for its global expansion plans.
ETI LOGISTICS
Launched in 2011, Eti Logistics was originally conceived for the transportation of raw materials and end products from Elazig in the eastern region of Turkey to the port cities of Mersin and Iskenderun on the Mediterranean coast. Eti Logistics has since experienced exponential growth to become a complete logistics service provider in the Turkish market, offering unimodal, intermodal and multimodal rail, trucking and vessel transport for containers as well as indoor and outdoor bonded/non-bonded storage, project cargo, stevedoring, labor management, maintenance, car handling, RORO operation and vehicle PDI services. Eti Logistics operates with a well-defined strategy: to provide quality, cost-effective logistics services for YILDIRIM subsidiaries as well as third parties in order to support their domestic and global expansion plans. In all of its operations, Eti Logistics seeks to develop strategies that suit the growth and changes of the market. With its customer focused solution approach, the company provides highly diversified services in order to become its customers’ best logistics solutions partner.
YILMAR HOLDING
YILMAR Shipping Agency, Logistics & Trading was established in 2000 in order to meet the logistics needs of YILDIRIM Group. The company’s activities include ship owning, management, chartering and agency as well as the sale and purchase (S&P) of vessels. YILMAR manages 11 dry bulk and general cargo vessels, with the annual volume of dry bulk carried exceeding the 1-million-ton level for the past 4 years. The company also serves third parties with the principles of honesty, reliability and high quality in its operations. Today, YILMAR has expanded its global range of activities by anticipating changes in maritime conditions as well as shifting customer needs and policies, thus securing a place for itself among the most respected shipping enterprises in Turkey.
CHEMFLEET
Established in 2006, Chemfleet is the first third party chemical tanker technical management company in Turkey. The company performs crewing, operational and technical ship management activities for the transportation of bulk liquid chemicals and oils. Chemfleet currently manages 26 chemical tankers and employs a crew of approximately 700, all of whom are Turkish nationals. The company provides its customers with reliable and efficient services that comply with high-quality safety and environmental standards, with ISO 9001, 14001 and 18001 certifications in addition to ISM Code Certification. The company has also received approval from major oil companies such as Exxon, BP and Shell. Chemfleet values continuous improvement in order to achieve its goals of zero incidents, zero spills at sea and zero detentions. In 2012, YILDIRIM Group acquired 51% of Chemfleet’s shares.
SOLAR CHARTERING
Established in 2012, Solar Chartering is a commercial management company for chemical tankers, owned 100% by YILDIRIM Group. The company currently manages 10 chemical tankers owned by YILDIRIM Group subsidiary YM Tanker Holdings. Solar Chartering is also expanding its network to manage third party vessels with the aim to become the biggest player in its field in the Mediterranean region. Following planned investments, the company will expand to other regions and markets.
MARMARA SHIPYARD
Marmara Shipyard is one of the first Turkish private shipyards founded in 1971. Since 1971 more than 100 ships were built by the shipyard. Located in the Izmit Bay in the Kocaeli Province, Marmara Shipyard Inc. was acquired by YILDIRIM Group in May 2007. Following this acquisition, YILDIRIM Group invested in infrastructure and equipment at the shipyard, which then began building vessels for local ship owners and Group companies. Marmara Shipyard currently has the capacity to build up to 2 x 16,500 DWT vessels per year. The company also conducts regular maintenance and repairs for both YILDIRIM Group’s vessels and third party vessels up to 50,000 DWT
BEYKOZ KUNDURA COMPLEX
The Beykoz Kundura Complex is a unique historic site located in one of the most beautiful parts of the Bosphorus in Istanbul. The complex is one of the most treasured embodiments of Turkey’s industrial cultural heritage. Originally established as a tannery during the reign of Ottoman Sultan Mahmud II in 1810, the Beykoz Leather and Shoe Factory provided shoes and leather items for the army. After the founding of the Turkish Republic, the factory continued to manufacture high-quality leather shoes under Sumerbank until production slowed down in the 1980s and the factory ceased operations in 1999. The Beykoz Kundura Complex was acquired by YILDIRIM Group via privatization in 2004 as a real estate development, restoration and renovation project. Today, the Beykoz Kundura Complex derives strength from its cultural heritage as it works to secure the groundwork for a transformation project that celebrates Istanbul’s history while reflecting a modern image of the city’s future. The complex also benefits from the loyalty and support of the creative industry as it takes firm steps towards fulfilling the requirements of the Ministry of Culture’s Regional Board of Protection of Cultural and Natural Assets.
ETI BETON
A subsidiary of YILDIRIM Group, Eti Beton Waste Recovery Industry Inc. was established in 2011 with the purpose of producing aggregate products as well as ready-mix concrete, concrete paving stones and curbstones by recycling the slag generated during Eti Krom’s chrome ore mining and ferrochrome production activities. Eti Beton comprises one mobile concrete batching plant located at Eti Krom’s underground mine in the Sori region of the Alacakaya district in Elazig Province, as well as a concrete batching plant, a concrete paving stone plant, a curbstone machine and an aggregate plant located on the site of Eti Krom’s ferrochrome plant. Eti Beton’s aim is to develop products without compromising on quality while making a name for itself as a respected leader in the industry. In order to achieve this goal, the company derives strength from its flexible business structure, inventive and creative solutions as well as its expert and disciplined team. All of the ready-mix concrete and concrete curbstones produced by Eti Beton are certified by the Turkish Standards Institute (TSE) and bear the CE marking to indicate their compliance with European Commission (EC) directives for basic safety, environmental and health conditions.
YILDIRIM ASSET MANAGEMENT HOLDING
A subsidiary of YILDIRIM Group, YILDIRIM Asset Management Holding BV is a private investment company established in Amsterdam in 2010. The company serves as a flexible investor with the goal of adding value to YILDIRIM Group’s portfolio through organic and inorganic growth. YILDIRIM Asset Management Holding made its 1st private equity investment in the last quarter of 2010. As a result, YILDIRIM Group made headlines in the maritime industry when it subscribed to a bond giving conversion rights to a 20% stake in CMA CGM, the world’s 3rd largest container shipping company and a major customer of YILPORT Holding. This USD 500 million investment gave YILDIRIM Group strong corporate governance rights, including board representation, at CMA CGM. In early 2013, YILDIRIM Asset Management Holding subscribed to new bonds mandatorily redeemable in shares for an amount of USD 100 million, bringing YILDIRIM’s total investment in CMA CGM to USD 600 million and giving YILDIRIM the rights to an additional 4% stake in CMA CGM upon conversion on a fully diluted basis. These convertible bonds bear an annual interest rate of 12% in coupon payments and may be converted to ordinary shares at the end of the 5-year investment term. In 2011, YILDIRIM made its 2nd financial investment as venture capital in the maritime operational leasing business with the acquisition of a 75% share in the Belgian yacht leasing company Sealease S.A. This investment in the maritime industry corresponds to a majority share in a well-defined business that aims to grow all over the world.
CMA CGM
CMA CGM is the world’s 3rd largest container shipping company, operating worldwide with more than 450 vessels. In 2016, YILDIRIM expects to exit from the investment dependent on bilateral negotiations, as set by the investment agreement duly signed on November 25, 2010. With this transaction, YILDIRIM Group expects to generate at least 40% internal rate of return (IRR) with 3x multiple of money (MoM).
SEALEASE
SEALEASE has been able to demonstrate record growth numbers in the recent era. The support from the YILDIRIM Group as majority shareholder has facilitated the exposure of this niche company into the market. SEALEASE has built up a solid reputation as funding source to the marine professionals with approximately 140 vessels operational across the world. Sealease has entered a consolidation phase after the culmination of growth era. The strategy was to streamline our organization plus our partners with clear processes, align the accounting principles across the various countries and implement the reporting tools in line with YILDIRIM Group.
