CEO’s Message – Aksoy Holding

Dear Stakeholders,

Natural disasters and economic and political events at home and worldwide have dominated our agenda in recent years. We banded together as a country after the earthquake that occurred on February 6 in Türkiye. We will continue to heal our wounds in unity and solidarity with all our strength and leave this period behind.

Aksoy Holding has adapted to these challenging conditions to the furthest extent, prioritised its financial sustainability, harnessed the benefits of our diversified and hybrid portfolio, and demonstrated significant success in strengthening our balance sheet.

Since it was founded 46 years ago to provide added value to Türkiye as its mission, Aksoy Holding has reinforced its position among the leading players in its sectors through our international collaborations. In 2024, we will maintain our efforts to leave a better world for future generations by fulfilling our responsibilities to society and the environment while seizing opportunities with this awareness.

Along with the 100th anniversary of the Turkish Republic, we also celebrated the 100th anniversary of the Türkiye operations of Shell, Shell & Turcas’ flagship, a preferred brand in its sector that revolutionised retail in the fuel sector. We are delighted to serve more than 1 million customers daily with approximately 1,170 Shell & Turcas-owned dealers and nearly 20 thousand frontline employees. With a fuel sales volume of 5.2 million m³ in 2023, we managed to maintain our top position with a 21.5% market share in under-canopy sales. In Shell Select stores, where we sold 14.7 million coffees, 6 million sandwiches, and 6 million bakery products last year, we will continue to reinforce our retail focus, targeting the sales of 18.3 million coffees, 7 million sandwiches, and 6.4 million bakery products in 2024. In addition, to contribute to the transition to electric vehicles, our investments to serve electric vehicles by installing fast charging units at Shell stations nationwide together with TOGG and its subsidiary TRUGO continue at full charge. We aim to contribute to environmental sustainability and create a better world with EV fast charging units to be installed at Shell stations across Türkiye.
With RWE & Turcas, our electricity sector subsidiary, we significantly contribute to our country in the energy field. Thanks to our 800 MW Denizli Natural Gas Combined Cycle Power Plant, built with state-of-the-art technology and the periodic major maintenance completed last year, we meet more than 1% of our country’s growing energy demand. Denizli Natural Gas Combined Cycle Turbine Power Plant, among the most efficient natural gas power plants in Türkiye, with an efficiency rate of 57%, will continue to meet our country’s electricity demand significantly in the coming period.
We have recently opened our Italian restaurant inside Conrad Istanbul Bosphorus, our flagship in the tourism sector. In addition, a Solar Power Plant (SPP) investment with an installed capacity of 4.7MW, which will meet all the energy needs of our hotel, will be completed this year.
With the Ritz-Carlton Residences, Bodrum, our ultimate large-scale mixed investment in the real estate sector, we are contributing to increasing the amount of foreign currency introduced to our country per tourist with the long-term leasing model we implement. We will operate the Ritz-Carlton Residences Bodrum for 30 years with expert teams and continue bringing the brand’s lauded service concept to villa owners.
With the anticipation that the growth in health tourism will take off in Türkiye, we are in the midst of developing a high-segment health centre project unique to our country. With this project, we aim to provide high service standards to domestic and foreign tourists and create a new international destination.
To increase our global footprint and geographical diversification of our operations, we have started new investments with experienced and prestigious real estate companies in the US, first in Jacksonville and Miami in Florida. We will then move on to different states like New York. We aim to continue diversifying our real estate investment partnerships in the US, where the total investment size exceeds USD 800 million, and expand to new locations.
In our trade activity branch, Aksoy International Trade signed a cooperation agreement with BMO, our new business partner in the Iraqi mineral oil market. In addition to representing the Hyundai Oilbank brand in Nigeria, Aksoy Nigeria focused on expanding international trade activities by launching our first local toll-blending initiative for the Nigerian mineral oil market in 2023. Our Technological Solutions department within our Trade activity branch will continue carrying out and developing global sales and representation of products containing high-tech and know-how in the aviation, security, and defence sectors, both in the markets where we already operate and in new markets.

As we are proud to celebrate the 100th anniversary of our Republic, we focus on creating value for all our stakeholders and shareholders in the areas of environment, social, and corporate governance (ESG) at Aksoy Holding.

As an agile, dynamic, and reputable group of companies with an entrepreneurial spirit committed to investing with great passion and determination, we will take steps by envisioning the social and environmental impacts of our undertakings that focus on financial sustainability.

As we continue to grow in line with our values, I would like to extend my sincere thanks on behalf of our Board of Directors to all our colleagues and stakeholders who have supported us in the valuable projects we have implemented.

With my sincere regards,

Batu Aksoy
CEO & Vice Chairperson