“We would like to obtain at least $10 billion from the sale of both companies. With this amount, we will be able to start construction on a metro line. My goal is to be able to reach Sarıyer, Beykoz and Silivri by metro,” the mayor said.
The municipality has stepped up preparations to privatize natural gas distribution in İstanbul, a process which local and foreign giants are anxiously waiting for. The municipality is receiving consultation services from Citigroup Global Markets Limited, EFG İstanbul Securities and AK Investment Securities on the privatization process of İGDAŞ, which has more than 4 million subscribers. The consulting firms, which began working as of March 1, will conduct research for approximately three months. At the end of that period, the companies will draw up a strategy for the privatization process.
The municipality expects to complete the privatization process by the end of 2010. The strategic report will have to be approved by the municipal council before the privatization process can continue. Several local and foreign energy giants are keeping a close eye on the İGDAŞ sale. Among the candidates are leading gas suppliers Russian Gazprom, French Gaz de France (GDF), Shell and Israeli businessman Sami Ofer. Local companies such as Koç, Sabancı, Çalık and Zorlu are also closely following the privatization process.
The municipality will open a tender for consulting services for the privatization of İDO on March 23. The İstanbul Municipality Council’s Plan and Budget Commission was authorized by Topbaş last July to privatize İDO and İGDAŞ.
