Turkey Wealth Fund acquires 55% share in Turk Telekom

Turkey Wealth Fund acquires 55% share in Turk Telekom

The Turkey Wealth Fund has acquired 55% of shares in Turk Telecom from LYY Telekomunikasyon (LYY), a consortium of banks, for US$1.65 billion.

The fund has been in negotiations with Turk Telecom’s majority shareholder LYY since December 2021, reported Reuters.

The transaction needs approval from regulators before being finalised said the sovereign wealth fund in a statement.

"As (Turkey's Wealth Fund), we believe that we will add extra value to the telecommunication sector by contributing in the digitalisation process, while focusing on efforts to further strengthen the technological infrastructure of our country," said  Turkey Wealth Fund CEO Salim Arda Ermut.

The fund has been mulling the acquisition since October 2021. In 2018, the 55% share Turk Telecom was bought by LYY from former owner Ojer Telekom (Otas) after being given approval from the country’s communications regulator.

Otas had to surrender its shares as it failed to keep up with debt repayments on a US$4.75 billion loan to acquire the operator.

 

MORE ARTICLES YOU MAY BE INTERESTED IN...


Sign-up to our weekly newsletter

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
Subscribe to our FREE twice-weekly email newsletters for the latest telecom info in developing and emerging markets globally.
I agree with the Terms and conditions and the Privacy policy
By accepting occasional e-mails from our partners, inviting you to download articles, white papers and attend events, you are helping fund free access to this valuable news service for emerging markets.