Istanbul, Turkey – A transaction between the Turkish Wealth Fund (TVF) and the Qatar Investment Authority (QIA), which includes the transfer of 10 percent of Istanbul’s share of the Stock Exchange to QIA, has been completed. The transaction, under the memorandum of Understanding signed between TVF and QIA on November 26, 2020, resulted in QIA’s investment of $ 200 million. The transaction price in question was determined by the Stock Exchange Istanbul’s total capital value of $ 2 billion.
CEO of the Turkish Wealth Fund Zafer Sönmez said:
“The transfer of 10 percent shares in Borsa Istanbul is the beginning of a long-term cooperation between the two countries’ asset funds. We believe that this investment will contribute to the creation of value and the development of corporate governance principles ahead of the IPO of Istanbul Stock Exchange, which we plan in the medium term. In terms of attracting foreign capital to our country during the Covid-19 period, where economic difficulties are experienced globally, this investment also has a separate importance. Borsa Istanbul will be one of the key actors of the Istanbul Financial Center, which is scheduled to begin operations in 2022; from this point of view, QIA proves its confidence in both Borsa Istanbul and Turkey’s vision with its investment.”
After the completion of the share transfer, TVF will retain its position as the largest shareholder in the stock exchange Istanbul with an 80.6 percent share. QIA will become a stock market investor with a 10 percent stake, while other shareholders, consisting of leading national capital markets actors, will continue to hold the remainder of the shares.