BIRLESIM_2021_ANNUAL REPORT

BİRLEŞİM MÜHENDİSLİK 2021 ANNUAL REPORT 34 INTRODUCTION · Control of the Istanbul Finance Center project (including responsibility for all of its unfinished works) was transferred to the Presidency some time ago and an agency was set up within the Presidential Finance Office to oversee the project, which is being carried out by the TOKİ Mass Housing Administration, İlbank, Emlak Konut REIC, and the Turkey Wealth Fund under an agreement with the Ministry of Treasury and Finance. According to plans, the project is to be substantially completed by the end of 2022. · The company continues to submit bids for previously-commenced state- funded city hospital projects whose continuation is being tendered under Turkey’s public-private partnership scheme. ASSESSMENT OF 2021 OPERATIONAL RESULTS A public offering of 38.24% of Birleşim Mühendislik shares was completed on 20 August 2021 and the company’s stock began trading on the exchange’s BIST Stars market. Birleşim Mühendislik’s IPO A public offering of 38.24% of Birleşim Mühendislik shares was completed on 20 August 2021 and the company’s stock began trading on the exchange’s BIST Stars market. Sales of the 22 million publicly-floated shares issued to represent in an increase in the company’s capitalization took place during three days beginning 11 August 2021. They generated TL 200,200,000 in gross and TL 186,864,720 in net income. 40% of the income from the public offering was used to pay off outstanding short- term bank loans owed by the company and its fully-consolidated subsidiary Erde Mühendislik Sanayi ve Ticaret A.Ş. With the aims of diversifying its operations by opening up new business lines in ongoing projects and of achieving its growth objectives, the company intends to use 20-30% of the receipts to increase collaboration with other electromechanical services providers and to acquire other companies that produce the critically important goods and/or services that the company uses on its projects. The company is presently exploring opportunities to achieve this. About 30-40% of the income from the sale of the newly-issued shares will be earmarked as working capital.