Gulf Capital sells 70% TurkNet stake

23 Feb 2021

UAE-based investment firm Gulf Capital has completed the sale of a 70% stake in Turkish fixed broadband and telephony operator TurkNet to a consortium of buyers led by the Celebiler family (including TurkNet founder and CEO Cem Celebiler) and Turkish alternative fund manager Re-Pie Portfoy Yonetimi (Re-Pie), it disclosed in a statement yesterday. Gulf Capital said the sale generated a significant return for its Credit Opportunities Fund, but did not reveal the value of the transaction.

The Middle Eastern seller highlighted that in its seven-year stint as a shareholder in TurkNet – via subsidiaries including Gulf Credit Lending – TurkNet increased its subscriber base by over 200% and its EBITDA by over 150% in USD terms, while building out a high speed broadband network (including an IP-MPLS backbone with PoPs in all major Turkish cities). TeleGeography’s GlobalComms Database shows that TurkNet is currently Turkey’s seventh largest broadband internet access provider by subscribers, and has the second largest fixed telephony user base in the country, albeit far behind national incumbent Turk Telekom.

Cem Celebiler stated: ‘This acquisition will bring the Celebiler family into a majority position in TurkNet … The next chapter of our growth journey will be with Re-Pie, the largest Turkey-based alternative fund manager.’

Turkey, TurkNet