Aug. 22 (Bloomberg) -- Carrefour SA, Europe's largest retailer, may jointly bid for Turkish supermarket chain Migros Turk TAS through its venture in the country, according to the head of the company's local partner, Haci Omer Sabanci Holding AS.

Carrefoursa Carrefour Sabanci Ticaret Merkezi AS, owned by Sabanci and Paris-based Carrefour, is ``seriously interested'' in buying Migros Turk, Sabanci Chief Executive Officer Ahmet Dorduncu told reporters in Istanbul yesterday.

``The sale process will probably begin in September and we will take part in this process, including examining the books of the retailer,'' Dorduncu said.

Retailers from Carrefour to Britain's Tesco Plc have bought stakes in Turkish companies to boost revenue as the country's economy expands more than twice as quickly as the European Union average. Koc Holding AS, Migros Turk's main owner, said in May it hired JPMorgan Chase & Co. to examine a possible sale.

Migros Turk shares surged 1.30 liras, or 6.9 percent, to 20.20 liras in Istanbul. That boosted the market value of Turkey's biggest supermarket chain to 3.56 billion liras ($2.7 billion).

An acquisition of Migros Turk would speed Carrefour's expansion in Russia, where the Turkish company co-owns the Ramstore chain of 27 superstores and 30 supermarkets. Carrefour spokeswoman Guylaine Mercier declined to comment.

`Good Asset'

``Migros Turk is a good asset,'' said Can Oztoprak, an analyst at Oyak Securities in Istanbul. ``It won't be difficult to sell it to a retailer which seeks to enter the Turkish market or which aims to expand its business in the country.''

The 957-store company leads Turkey's $16 billion supermarket industry with more than 20 percent market share, while Carrefoursa has 14 percent, Dorduncu said. The whole food retailing industry is worth $72 billion, of which organized supermarkets account for only 22 percent, Chairwoman Guler Sabanci said. Most food sales are through local bazaars and corner shops, she added.

Istanbul-based Sabanci, whose Akbank TAS is Turkey's biggest company by market value, aims to increase the share of revenue and earnings from non-financial businesses, the chairwoman said at the press briefing. Financial units account for 60 percent of the company's sales and about 70 percent of profit, Dorduncu said.

``We aim first to bring this balance to a 50-50 level and then to 40-60 in favor of non-financial businesses,'' Guler Sabanci said. This can be achieved through faster growth in the retail and energy industries, she added. Sabanci is mainly interested in Migros Turk's stores in Turkey and may buy those outside the country if offered for sale.

No Comment

Wal-Mart Stores Inc., the world's largest retailer, is also interested in buying a stake in Migros Turk, said Rahmi Koc, honorary chairman of Koc Holding, in October last year.

Wal-Mart won't comment on ``rumors and speculation,'' spokesman Kevin Gardner said by e-mail. A spokesman for Koc declined to comment on the plans for the sale of Migros Turk.

Migros was founded in 1954 as a joint venture between Switzerland's Migros Cooperatives Association and the Istanbul Municipality to help develop a modern retail network in the city, according to its Web site. Koc Holding bought the company in 1975.

Sabanci's sales increased more than 20 percent in the first half of the year and the company's targets for the year are in line with that growth, Dorduncu told reporters. First-half results will be released in the first week of September.

Sabanci is also seeking to expand its energy business to close the gap between financial and non-financial revenue. The company aims to invest $6 billion in energy, producing 5,000 megawatts of electricity by 2015, Dorduncu said. The company already spent more than $500 million in the first half of 2007.

Dorduncu said Sabanci's five main divisions are energy, finance, retailing, cement and tires.

To contact the reporter on this story: Firat Kayakiran in Istanbul at fkayakiran@bloomberg.net.

Last Updated: August 22, 2007 10:09 EDT