SOCAR Sells Shares in Petkim to Unnamed Investment Fund

The network has released conflicting information about whether sold, or being prepared for sale 2.75% stake of SOCAR Turkey Energy (subsidiary of SOCAR) in the Turkish petrochemical holding Petkim Petrokimya Holding to an unnamed foreign fund.

"This is a common business transaction, that is, the process of selling shares purchased several years ago at a lower price. It allowed selling each share about 2.5 times more expensive and gain significant profits. The proceeds from the sale of this stake will be used for other investment objectives. This transaction will not affect the volume of the controlling stake in Petkim, and SOCAR will continue the effective management of this company," a source said in SOCAR Turkey Energy, which controlled 61.3% of Petkim up to this (another 38.68% is in free circulation on the Istanbul Stock Exchange).

However, the amount of the transaction is not disclosed. The websites of SOCAR, SOCAR Turkey Energy and Petkim provide no information about the transaction.

SOCAR Turkey Energy was established in late 2006 for the implementation of investment projects in the petroleum refining, petrochemical fields and natural gas trading in Turkey.

In August 2015 the US bank Goldman Sachs International (GSI) became a shareholder in SOCAR Turkey Energy, buying 13% of SOCAR Turkey Energy for $1.3 billion.

According to the published annual report of Petkim, its net profit totaled 639.2 million Turkish Liras in 2015, increasing by 14% in a year’s time.

During this period, the assets of the petrochemical complex Petkim increased by 44.2% and amounted to 5.46 billion Turkish Liras.  –0--