Kardemir Çelik is launching an IPO to raise working capital

The Turkish steelmaker Kardemir Çelik Sanayi A.Ş. has announced that it is preparing to enter the capital markets following the completion of a programme to expand capacity and improve efficiency. The funds raised from the initial public offering (IPO) will be used primarily to replenish working capital and increase capacity utilisation at its production sites. This was reported by SteelOrbis.

The placement is being organised by a consortium of 48 brokers led by A1 Capital, Vakıf Yatırım and Ziraat Yatırım. Investors will be offered shares with a total nominal value of 128 million Turkish lira (TRY) at a fixed price of 35.0 TRY per share.

Applications will be accepted from 22 to 24 July. The total IPO size is expected to be 4.48 billion TRY (approximately $95 million), and the free float will amount to 15.42%.

According to board member Özlem Bakirel, the IPO is intended to establish a stable and transparent corporate structure. Around 90% of the funds raised will be used to secure raw materials and working capital to ensure the full operation of the recently expanded production facilities.

Kardemir Çelik employs over 1,350 people and operates seven plants in Izmir and Denizli with a total annual capacity of 2.5 million tonnes (including a 1.2 million-tonne steelworks). In 2025, the company produced around 1.8 million tonnes of products, increasing its revenue by 13% to 23 billion TRY. In the first quarter of 2026, revenue growth stood at 8%, whilst the share of exports reached 58%.

As reported by GMK Center, in the first quarter of this year, Kardemir increased steel production by 2.7% year-on-year – to 634,000 tonnes, and pig iron production by 0.9% year-on-year – to 653,000 tonnes. At the same time, sales of rolled steel for the same period fell by 11.6% year-on-year – to 562,000 tonnes.