Erdemoğlu Holding, whose foundations were laid in the 1970s by Mehmet Erdemoğlu (Sage of Besni) by purchasing 2 rugs and 1 carpet loom, has become a world leader in polyester, fiber, and carpet production today. The group, which exports to nearly 100 countries, has recently attracted attention with its company Sasa that produces polyester and fibers. Last week, while visiting Sasa's production base in Adana with our journalist colleagues, we had a detailed conversation with İbrahim Erdemoğlu, Chairman of the Board of Directors of Erdemoğlu Holding.

GROUP TURNOVER INCREASED EXPONENTIALLY
Pointing out that the group's turnover increased exponentially after 1983, Erdemoğlu said, “Our turnover in 1983 was 250 thousand dollars. It was 2,5 million dollars in 1991, 25 million dollars in 2001, 250 million dollars in 2011, and 2,5 billion dollars in 2021. Currently, it is 4,5 billion dollars. Our 2031 target is 25 billion dollars."  The first agenda item of the Holding is the ongoing and completed investments in Sasa. Reminding that they purchased 51 percent of Sasa for 102 million dollars with a valuation of 200 million dollars in 2015, Erdemoğlu provided the following information:
IT ADDED A NEW SASA IN NINE YEARS
“Sasa's market value in the stock market was 130 million dollars. 49 percent were open to the public. We made a call with the letter of guarantee we received from Akbank in exchange for shares. Small shareholders responded to the call. Our share exceeded 84 percent. When we acquired Sasa, there was a situation of 'technical bankruptcy.' We have invested 4 billion dollars so far. There are four ongoing investments: *1,7 billion dollar PTA (raw material of polyester) investment. The facility will be in operation in 1 month. *An 800 million dollar investment in two fibers and one in polyester chips (POY). With these investments, we have almost added one other Sasa to Sasa.”
THE CHEAPEST YARN IN THE WORLD
Underlining that all investments will be completed by the 6th month of 2025, Erdemoğlu said, “Our capacity will increase by 85 percent. Annual production of 1,1 million tons will increase to 1,9 million tons. We will reduce the current account deficit by 1,5 billion dollars. We will transition from importer country to exporter country status. Apart from India and China, we will be the largest polyester producer in the region, including the Middle East. The cheapest yarn in the world will be produced in our PTA facility because the facility will generate its own electricity. 95 percent of the water will be recycled. The cost per ton at PTA was 110 dollars. In the new facility, the price will drop to 30 dollars."
FOUR  FOREIGNERS LINED UP FOR PARTNERSHIP
Stating that four global companies want to be partners in petrochemical investments, Erdemoğlu said, “Our friend held the preliminary discussions. I will not step in until the Industrial Zone announcement is made clear. Mentioning that they will establish five separate companies (refinery, paraxylene, ethylene, propane, port) in Yumurtalık and that Sasa will be the 100 percent owner of all of them, Erdemoğlu said, “Whoever wants to become a partner will be able to become a partner of its maximum of 49 percent. Control will be in Sasa. Singaporeans are interested in partnership in the port. The Saudis also have an offer for us to implement this project in Saudi Arabia, as they will lose the market. However, we are a family that says 'Our state, our nation.'
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'IF THE PRICE OF THE SHARE WERE HIGH, I WOULD TELL  IT'
İbrahim Erdemoğlu specified that the number of small investors holding Sasa shares is 750 thousand and said, “Those who have shares do not sell. Our responsibility is huge. People trust us." In response to the question "Whether you are considering selling Sasa shares as a holding?" Erdemoğlu said, "We are not considering increasing Sasa's free float rate." Erdemoğlu, who made a statement in November 2022 saying "The value of Sasa shares is very high," answered  the question "So, is the same situation in question now?" by saying, "I would tell it if it were high."
EMPLOYMENT OF 20 THOUSAND PEOPLE
Erdemoğlu Holding is girding its loins for the largest petrochemical investment of recent years. This investment, which is expected to be put into practice in Adana Yumurtalık, ‘will replace 22 billion dollars worth of petrochemical imports’ in the words of İbrahim Erdemoğlu. Once the investment is made, the raw materials obtained from crude oil, intermediate products, and the final product will extend to yarn. The investment will be completed in 10 years. It will provide employment to 20 thousand people. The value of the investment, which will continue for 10 years, will reach 25 billion dollars.
THE PRESIDENT INSTRUCTED
İbrahim Erdemoğlu pointed out that the land issue must be resolved in order to start the investment and summarized the process as follows:
3,5 years ago, Mr. President instructed to start the process of allocating the land in Yumurtalık to us.
We met with the then Minister of Industry and Technology Mustafa Varank, Minister of Commerce Mehmet Muş, and Minister of Treasury and Finance Lütfi Elvan.
Over time, we have also expanded our investment plans. That is why we requested an area of ​​11 million square meters.
We purchased the 4,5 million square meter section from the Treasury in the tender held. We also collected 2,5 million square meters from citizens, and the land size increased to 6,5 million square meters. We spent 4 billion liras on the land.
WAITING FOR FINAL APPROVAL
When our land reached 6,5 million square meters, we made our preliminary applications for investment. We received the permits. Finally, an approval was issued by the Ministry of Agriculture.
Now we are waiting for the land in question to be declared an 'Industrial Zone'.
Even if the 'Industrial Zone' announcement is issued these days, we will take a break from investment in 2025 and break ground in 2026. In the first phase, we will start with an investment of 5,5 billion dollars. After seeing the results, we will start the investment of 10 billion dollars.

News Source: Posta News