Pursuant to our material event disclosure dated 09.07.2024, the Capital Markets Board's ("CMB") approval for the planned debt issue was announced in the CMB's bulletin dated 21.11.2024 and numbered 2024/53. The approved issuance certificate, its annex and signed application form are presented in the attachment.
Following its assessment, the international rating agency Fitch Ratings has revised our Company's Local Currency credit rating from "BB-" to "B+." While the Long-Term Foreign Currency credit rating has been maintained at "B+," the outlooks for the ratings have been changed to "Negative."
TL 400,000,000 nominally valued Commercial Paper, which was sold to qualified investors on June 6, 2024 with a maturity of 167 days and with the ISIN Code of TRFVSTLK2418, was redeemed as of today (November 20, 2024) with completion of th coupon payment amounting to TL 100,567,600 and the principal payment of TL 400,000,000.
TL 360,000,000 nominally valued Commercial Paper, which was sold to qualified investors on July 4, 2024 with a maturity of 139 days and with the ISIN Code of TRFVSTLK2426, was redeemed as of today (November 20, 2024) with completion of th coupon payment amounting to TL 71,290,080 and the principal payment of TL 360,000,000.
The third coupon payment amounting to TL 51,417,790 on the TL 370,000,000 nominally valued corporate bond which was sold to qualified investors on February 8, 2024 with a maturity of 384 days and trades with the ISIN Code of TRSVSTL22511, was made as of today. The interest rate for the fourth coupon payment has been set as 16.7667%.
Pursuant to our material event disclosure dated 22.10.2024, an application has been made to the Capital Markets Board today for the approval of the Announcement Text regarding the demerger. The Announcement Text on Demerger (Part 4) is presented in the attachment.
The Board of Directors of Vestel Elektronik Sanayi ve Ticaret Anonim Şirketi took the following decisions:
In order to increase managerial effectiveness by gathering our activities in the fields of mobility and energy storage, in which our Company has made significant investments, under the roof of our wholly-owned subsidiary Vestel Mobilite Sanayi ve Ticaret Anonim Şirketi ("Vestel Mobilite"), to enhance the productivity of our growth strategy in the mobility segment, and to create synergy by establishing a more focused structure;
The above resolutions were taken unanimously by the Board members present at the meeting.
TL 600,000,000 nominally valued commercial paper, which was sold to qualified investors on 2 May, 2024 with a maturity of 147 days and trades with the ISIN Code of TRFVSTL92412 , was redeemed as of today (September 26, 2024) with completion of coupon payment amounting to TL 144,986,400 and the principal payment of TL 600,000,000.
Our Company has signed a letter of intent to acquire a 4.64% stake in VIDAA International Holdings BV, the owner of VIDAA, a leading smart TV operating system and streaming platform with the aim to enhance its competitive edge in the platform world, which has become the key factor in consumer choices in TV purchases and position itself as a key player in the TV ecosystem. VIDAA International Holdings BV is a subsidiary of Hisense, the world's second largest and China’s largest TV manufacturer. Discussions between the parties are ongoing.
Currently, there are over 30 million smart TVs in the market running on the VIDAA operating system, making it the second-largest TV operating platform in the world with an approximately 8% global market share.
Through this partnership, Vestel aims to enrich its existing global TV platform portfolio and solidify its position in the global TV platform ecosystem. VIDAA’s innovative interface and rich content will enable the development of new product ranges for new markets and customers, contributing to Vestel’s global growth strategy. It will also open doors for new collaborations with the brands and retailers using the VIDAA operating system.
Upon completion of the share transfer, Vestel and VIDAA International Holdings BV will enter into an advertising revenue-sharing agreement, which will allow Vestel to generate advertising revenues based on the sales of TVs carrying the VIDAA’s platform. With this agreement Vestel will generate recurring advertising revenues in addition to its TV sales revenues. According to Omdia, a global technology research and advisory firm, global advertising revenues from smart TV devices amounted to US$31.5 billion as of 2023 and are expected to reach US$49 billion in 2025. Developments will be shared with the public in full and on time.
In parallel with our global growth strategy, our Company aims to enhance its presence and visibility through its brands in relevant international markets and in line with these goals, it has been decided that "Vestel Holland B.V. Germany Branch Office", the German branch of Vestel Holland B.V., an indirect 100% subsidiary of our Company through our wholly-owned subsidiary Vestel Ticaret A.Ş., will open a physical store of Vestel, the global main brand of our Company, in Berlin, Germany and launch an e-commerce website (http://www.vestel.com/de), which will provide products and services to all cities in Germany, to support our omnichannel sales and/or marketing approach, in order to conduct sales, marketing, advertising, promotion and similar activities with the strategy of offering our products and services directly to consumers.