SOCAR subsidiary sells Millenicom telecoms co to Turkish venture fund

BAKU. Oct 30 (Interfax) - SOCAR Turkiye Enerji, the Turkish subsidiary of State Oil Company of the Azerbaijan Republic (SOCAR), has closed a deal for transferring the internet provider Millenicom to the ownership of mixed investment venture fund Dorduncu Karma Girisim Sermayesi Yatirim Fonu, which belongs to the Turkish company Albaraka Portfoy Yonetimi A.S.

"SOCAR Turkiye, whose primary activity is focused on oil refining, petrochemicals, natural gas and energy trade in Turkey, is divesting a non-core asset - the telecommunications company Millenicom," SOCAR Turkiye said in a press release.

The agreement to sell Millenicom was concluded earlier with the venture fund Dorduncu Karma Girisim Sermayesi Yatirim Fonu. The size of the deal was not disclosed.

Millenicom, which joined the SOCAR Turkiye group of companies in 2019, is one of Turkey's leading alternative operators, offering fast and unlimited fiber-optic internet to approximately 400,000 subscribers, the press release said.

"Implementing this deal will help to raise SOCAR Turkey's operational effectiveness and achieve the goals of sustainable development by focusing on core areas of activity, including oil refining, petrochemicals, and natural gas," it said.

As reported, SOCAR acquired EWE Turkey Holding, which manages the operations of the German company EWE AG in Turkey, in 2019. In particular, the deal included the purchase of EWE Turkey Holding and its five subsidiary companies - Bursagaz, Kayserigaz, Enervis, EWE Enerji and Millenicom.

SOCAR Turkiye Enerji owns a 51% controlling stake in Petkim Petrokimya Holding. The company also built the STAR Oil Refinery in Turkey, a container terminal and a power plant, and it supplies gas to the domestic market and petroleum products to fueling stations at airports in several major Turkish cities.