Kordsa, a Sabancı Holding subsidiary and one of the world’s leading companies in advanced material technologies, is reshaping its strategic structure in line with changing global market conditions. In the new period, the company aims to increase both operational efficiency and global competitiveness by focusing on its core business lines, tire reinforcement and composite technologies.
Commenting on the company’s new strategic direction, Kordsa CEO Ergun Hepvar said:
“We have built our strategy on ‘becoming a partner that creates value for its customers through differentiation’ and ‘being the party that manages change in the market.’ Our goal is to create a Kordsa that maintains its competitiveness on a global scale, stands out with its technology, strengthens its balance sheet with a focus on financial sustainability, and reinforces its leadership vision.”
“Change in the Global Market Makes More Focused Structures Necessary”
Hepvar noted that in recent years, Asian players’ increasing capacity investments and price competition have significantly shifted the balance in the sector.
“Today, a significant portion of tire reinforcement production has shifted to Asia, particularly to China. In this competitive environment, it has become inevitable for companies to adopt more efficient, flexible, and focused structures. In line with this, we are increasing our focus and repositioning our fields of activity,” he said.
As part of this strategy, Kordsa transferred its construction reinforcement business line and the Kratos brand to Afyon Çimento, a subsidiary of Çimsa, another company within the Sabancı Group. Hepvar emphasized that this move was “a natural result of our focused growth strategy.”
“Operational Efficiency and Financial Sustainability Are Our Priorities”
Highlighting Kordsa’s strong 52-year history, Hepvar stated:
“Kordsa has always been a brand that grows together with its customers. Customer focus, a passion for quality, and its agile structure have carried the company to a global leadership position in tire reinforcement. Today, at a time when our global customers are reshaping their supply chains, we must also restructure our operational processes in line with market realities.”
Hepvar added that Kordsa’s core strategies during this transformation process are built on excellence in value-added products and continuity in customer satisfaction, and said:
“Creating sustainable added value for all our stakeholders is the formula for our future.”
“Sabancı’s Vision and Trust Are Critical in the Kordsa Story”
Hepvar also stated that Sabancı Holding’s vision and trust in the company play a significant role behind Kordsa’s global transformation process.
“Sabancı Holding’s decision to participate as the main shareholder in the capital increase resolution taken last month is the most recent indication of this trust,” he said.
Noting that the funds to be raised through the capital increase will be used to reduce Kordsa’s financial debt, Hepvar concluded:
“This financial restructuring will be one of the strongest driving forces behind our transformation process.”
