Turkey’s incumbent telco has made a non-binding offer for 53% of local DTH firm Digiturk after the stake was seized by the government.
A Turk Telecom spokesman said its board of directors agreed to submit the offer in cash to “open the doors to…
Turkey’s incumbent telco has made a non-binding offer for 53% of local DTH firm Digiturk after the stake was seized by the government.
A Turk Telecom spokesman said its board of directors agreed to submit the offer in cash to “open the doors to negotiations”.
The stake is owned by Cukurova, a Turkish diversified holding company. But after it missed certain repayments this stake was brought under the control of the state’s Savings Deposit Insurance Fund (TMSF).
Private equity firm Providence Equity Partners owns the remaining shares, and the spokesman said the telco is open to buying the whole of Digiturk.
“It’s an option we will be looking at, but there’s no indication that Providence wants to sell,” he said.
Providence, which acquired its holding for around US$250m in 2006, declined to comment.
However, it and Cukurova have previously sought to divest the asset as early as 2011. Back then Digiturk was valued at around US$2bn.
Rival suitors that have been in the frame in the past include cable giant Liberty Global, French satellite TV broadcaster Canal+, and US-based media groups Time Warner and News Corp.
Founded in 2000, Digiturk won rights last year to broadcast Turkey’s top football league for a further three years. It broadcasts channels via satellite operators Turksat and Eutelsat.
