MOSCOW: Russia’s Alfa Telecom offered $2.8 billion on Tuesday to buy back a 13.76 percent stake of Turkcell (TCELL.IS) a deal that would double its holding in Turkey’s top mobile operator after a seven-year battle for control of the company.
Alfa Telecom said in a statement it had offered $54.9 million per share for 51 of Turkcell’s class-B shares, which are being held with Turkey’s state-run Ziraat Bank [TCZIR.UL] as collateral for a loan.
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Alfa has been locked in a battle with one of Turkcell’s founder’s, Mehmet Emin Karamehmet, for control of the mobile operator.
Last year, a holding company controlled by Karamehmet, Cukurova Holding, paid Alfa $1.6 billion for the stake in Turkcell, financing its offer through a loan from Ziraat.
But now, Alfa has offered to buy that back at a substantial premium.
Turkcell has a complicated ownership structure, with 51 percent of its shares held by another holding company, Turkcell Holding. Alfa currently holds a 13.22 percent stake in Turkcell through ownership in that unit.
Nordic telecoms group TeliaSonera (TLSN.ST) is the biggest stakeholder with 38.04 percent in the mobile operator, while 27.25 percent of the shares are publicly traded.
