Cukurova Puts 6% Stake in Turkcell Up for Auction to Pay Debt to Alfa

MOSCOW, Nov 9 (Prime-Tass) -- Turkey's Cukurova Group has announced a public offer of a 5.88% stake in Turkey's largest mobile operator Turkcell to get funds to pay off part of its debt to Russia's Alfa Group, Cukurova Group said in a statement Thursday.

J.P. Morgan Securities was picked as the agent for the possible deal, Cukurova Group said.

At the moment Cukurova Group controls 27% in Turkcell, including a 13.3% stake directly.

In November 2005, Alfa Group bought a 49% stake in Cukurova Group, receiving indirect control of a 13.2% stake in Turkcell. Alfa Group paid U.S. $1.593 billion for the stake and provided a $1.707 billion loan to Cukurova Group. The loan maturity and other financial conditions were not disclosed.

Swedish-Finnish mobile operator TeliaSonera's subsidiary Sonera Holding holds 37.1% in Turkcell, Cukurova Group holds 27.2%, 16.55% is publicly traded, MV Group companies hold 6.07% and YKB holds 13.11%.

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Posted to the site on 9th November 2006