Sale of Turkish Petroleum approved

The Privatization High Council approved the 100 percent sale of the Turkish Petroleum Fuel Distribution Company.

According to the decision of the Privatization High Council published yesterday in the Official Gazette, the 100 percent sale of TP Petroleum Fuel Distribution Company to Zülfikarlar Holding AŞ at TL 490 million ($128.8 million) was approved.

The tender for a 100-percent stake in the TP subsidiary was held under the Presidency of Privatization Privatization High Council in October and attended by officials from Zülfikarlar Holding, SBK Holding A.Ş., Siyah Kalem Engineering Construction Industry and Trade Inc. and Termopet-Net-Cemil Direkci. The auction began at TL 370 million, and increment ranges were set at TL 1 million. After a few rounds, Termopet-Net-Cemil Direkci withdrew from the tender, and the auction continued between SBK Holding A.Ş and Zülfikarlar Holding. Finally, Zülfikarlar Holding was awarded the tender with the highest bid of TL 490 million.

Four bids were submitted in the tender for privatization of a 100-percent stake in the subsidiary company. SBK Holding A.Ş and a consortium of Zülfikarlar Holding, Siyah Kalem and Termopet-Net-Cemil Direkci submitted bids for the tender prior to Sept. 30, the final deadline set by the Privatization Authority.

Zülfikarlar Holding owns Turkuvaz Petrol, which is the sixth-largest player in the market with a 4.4 percent market share and around 400 distribution centers across the country, according to the Privatization Authority's website. The company, which has three storage facilities, opened its first distribution center in 2007.