Turkish conglomerate plans new public offerings

ISTANBUL - Radikal

Turkey’s Akfen Group CEO Süha Güçsav is seen.

Turkey’s Akfen Group plans to publicly offer the Istanbul Fast Ferries Co. Inc (İDO) as well as the Mersin Port pending partners’ approval, group CEO Süha Güçsav told private broadcaster CNBC-e yesterday.

The group is also interested in the privatization of the Istanbul gas distribution agency, İGDAŞ, but not in the National Lottery privatization, he said.

“The İDO and the Mersin Port public offerings will raise the value of Akfen,” he said, adding that the number of İDO passengers increased in the first half of the year compared to the same period of last year and that the group expected that their $125 million in new investments in the Mersin Port would be approved by state authorities.

The Tepe-Akfen-Souter-Sera consortium won the auction for the privatization of İDO, a subsidiary of the Istanbul Metropolitan Municipality, with an offer of $861 million in 2011.

As complaints mount against the ticket pricing policy of İDO, the company changed to a “single price” policy in 2012. Many people had complained that ticket prices were too high for late buyers before the policy change.

The Mersin port’s operation rights were awarded to Singapore-based PSA-Akfen Joint Venture Group for a term of 36 years, while Mersin International Port (MIP) was established by the PSA-Akfen JV Group in 2007.

“We’re interested in the privatization of the Istanbul gas distribution agency, İGDAŞ, but not in the National Lottery privatization,” Güçsav said, adding that Akfen Holding was interested in any good infrastructure project.

“We’ll take more financing opportunities for such projects, as the growth-with-cheap-money period is over in the new global situation,” he said.