Kontrolmatik Defaults on 450 Million Liras of Bonds in Rare Turkish Local Debt Market Event
Updated
Updated · Bloomberg · May 15
Kontrolmatik Defaults on 450 Million Liras of Bonds in Rare Turkish Local Debt Market Event
1 articles · Updated · Bloomberg · May 15
Two TLRef-indexed floating-rate bonds maturing on May 15 went unpaid by Kontrolmatik Enerji ve Muhendislik, triggering a default on 450 million liras of debt.
Turkey’s Central Securities Depository disclosed the missed scheduled payments, but gave no reason for the default and did not say whether restructuring talks were under way.
The missed payment stands out because corporate debt defaults are rare in Turkey’s local bond market, making the case an unusual test for domestic credit investors.
Is this rare default a warning sign of a wider collapse in Turkey’s corporate bond market?
With a new factory and rising revenue, why did Kontrolmatik default on its domestic bonds?
Did Kontrolmatik’s ambitious expansion in Africa lead to its financial collapse at home?