Deals
Turkish Banks Take Over Largest Phone Operator After Default
- Lenders aim to sell to ‘expert investor’ after Otas default
- Government’s deputy transport minister takes over as chairman
Turk Telekom branch in Beyoglu, Istanbul.
Photographer: Artur Widak/NurPhoto via Getty Images
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A group of Turkey’s major banks took control of Turk Telekom AS, the nation’s largest phone company, setting it up for a likely sale after previous owner Otas defaulted on a multi-billion-dollar loan.
Akbank TAS will hold 35.6 percent of the special purpose vehicle set up to take on Otas’s 55 percent controlling stake, Turkiye Garanti Bankasi AS will have 22.1 percent of that entity, and Turkiye Is Bankasi AS’s share is 11.6 percent, according to filings Saturday. The other owners haven’t been disclosed, though almost 30 local and international banks signaled earlier this year that they’d participate in the SPV.