A venture led by Saudi Oger Telecom and including Telecom Italia won a tender on July 1 this year offering $6.55 billion for a 55 percent stake in Turk Telekom. Oger Telecom, part of the Riyadh-based Saudi Oger group with substantial business presence in many foreign countries, acquires the Turkish government’s 55 per cent stake at a value of $6.55 billion.
On behalf of Turkey, the share sale agreement was signed by Turkish Minister of Finance Kemal Unakitan. Mohammed Hariri, senior vice president and chief financial officer of Saudi Oger, represented the Oger Telecom and inked the deal. The signing represents a significant step forward in the privatization, but closing the sale is still subject to Council of State opinion on Turk Telekom’s concession agreement.
Hariri said: “We are fully committed to this investment and are confident of our ability to build value to all stakeholders including the management of Turk Telekom, its employees, its customers and to the public at large.”
Dr. Paul Doany, Oger Telecom’s managing director said: “The company’s experts and specialists have worked hard in all aspects including detailing the business, technical and commercial plans, while finalizing the operational plan well in advance. Our joint team with BT Telconsult (British Telecom’s consultancy arm) has focused on the fixed line business including new technology, products and services.”