[Intl-tobacco] Turkish State Monopolies, Tekel, On The Way To Privatization

[robert weissman]

TurkishPress.com

Turkish State Monopolies, Tekel, On The Way To Privatization
Published: 8/24/2005

ANKARA - While the restructuring in Turkish State Monopolies (TEKEL),
dealing with production and sale of tobacco, tobacco products, salt and
alcohol continues, the final privatization process is expected to start
in 2006.

State officials think to separate the Tobacco Products (Cigarette)
Division of the company from other divisions, in order to make it more
profitable.

The restructuring of TEKEL is expected to be completed before the end of
September, 2005. Afterwards the efforts will mainly intensify on making
the Tobacco Products division of TEKEL more profitable before the end of
2005.

TEKEL was earlier put to tender twice but the deal was not completed as
no good price was offered in the first tender and there were no offers
at all in the second.

In 2006, TEKEL's privatization will be in question. The block sale of
TEKEL shares is again considered as the most efficient way, but the
method of sale of majority of TEKEL's shares can be considered in order
to give opportunity to native investors to take part in the tender.