Trustee-run local firms see 12 percent growth in turnover


Turkey's Savings Deposits Insurance Fund (TMSF) has been successfully operating a number of firms seized due to their ties with the Gülenist Terror Group (FETÖ). In a recent interview with the press, the fund's Chairman Muhiddin Gülal confirmed that an average increase of 12 percent has been achieved in the turnover of companies transferred to the TMSF.

Stating that this figure reaches up to 30 percent when companies with serious financial problems are excluded, Gülal said that 937 firms have been managed by trustees to date, reaching TL 19.4 billion ($4.02 billion) in equity and TL 50 billion in assets. One of these firms is Gaziantep-based Naksan for which the fund settled a TL 5 billion market debt through asset sales and highlighted that there is an increasing demand from Gulf countries for Naksan.

Speaking to the Turkish newspaper Sabah after a meeting he attended to explain the financial results of the Aydınlı Group, which was also transferred to TMSF in this regard, Gülal expressed that the most troublesome FETÖ companies were operating in the construction sector. He added that they saved real estate developers Dumankaya and Fi Yapı by selling them to a German company. Gülal also said textile companies were the most profitable businesses.

Gülal noted that that the fund also restored the financial structure of Denizli-based Aynes which asked for a suspension of bankruptcy, closing last year with a turnover of TL 777 million, adding that they also overcame the financial crisis of İzmir-based Kavuklar Group through asset sales.

Gülal said that they closed down the TL 5 billion market debt of Naksan, which they took over with major financial troubles, through asset sales. Pointing out that they raised the capacity of the factories up to 80 percent, Gülal said they are planning to sell the carpet and plastic sections in the coming period, adding that they came together with both domestic and foreign buyers for sale, receiving great interest from the Gulf capital.

TMSF Chairman stressed that they do not regard the companies transferred to the TMSF as FETÖ affiliates any longer. "These are all national wealth. These companies will continue to create employment and produce. We manage these companies as if we would always keep them," Gülal said.

He added they have increased the turnover and exports of Aydınlı Group since they took over the company in January 2017. "In the first half of this year, its turnover increased by 37.4 percent to TL 809 million. We plan to raise this figure to TL 1.8 billion by the end of the year," he noted

Aydınlı Group CEO Mustafa Erbey, on the other hand said they aim to increase their turnover to TL 2.8 billion in 5 years. "We carry on our path with our licensors," he added.

When asked whether these firms can be sold or not, the chairman expressed that the fund may sell them if there is demand for these companies.