Tuesday, September 20, 2005

Istanbul Port Offered $4.3 Billion for Privatization

A new ring was added to the Turkish privatization chain. The highest offer for Galataport Tender, which will change the face of Istanbul, came from the Royal Caribbean Cruises-Global Group with 3.5 billion euros ($4.3 billion).

IC Holding from Turkey, which belongs to Ibrahim Cecen, Limak Company that belongs to Nihat Ozdemir and the Ofer Family, which bought 15.4 percent shares of TUPRAS from Istanbul Stocks Exchange (ISE), is also in the consortium.

The second highest bid came from Tepe Group with 1.37 billion euros.
The lowest offer was made by the Fiba Holding, which belongs to Husnu Ozyegin. The leader of the group that made an offer of 1,004 billion euros is Finans Gayrimenkul.

The Seaport, which will be leased for 49 years in the frame of build-operate-transfer model, will become a major tourism center.

The Royal Caribbean is the second biggest cruise company in the world.

Sweden based Royal Caribbean is the second biggest sea transportation company in the world. The owners of the company are the Yuni Offer brothers.

Global Yatirim Ortakligi (Global Investment Partnership), which takes place in the same consortium with Royal Caribbean, belongs to Mehmet Kutman.

There are claims that Kutman negotiated a transaction to the Warren Buffet for Galataport .
Rause Tri-Party Miscellaneous LCC, one of the partners of the consortium, is also one of the biggest shopping mall investors in the US.

While Sasso Holding is an investment company from Monaco, Antalya Belek Tourism Investment is a subsidiary of IC Holding.
It will change Istanbul's face

The construction of marina port, where big ships come to be anchored, shopping malls and five star hotels are planned by the Project Galataport that will be constructed on 1,200 meter band beginning from the Istanbul Karakoy port.

While some historical buildings will be restored under the context of the three-year project, the coastal band generally used by public institutions will also be open for the public.

The project including Eminonu peninsula, Salipazari, Tophane and Beyoglu aims to form a tourist attraction center.

The Clock Tower, mosques and historical buildings will be protected by the Project.
Furthermore, the port that will be built for the big cruise ships will be able to anchor three or six ships at one time.

Experts say the project, which is estimated to cost $300 million, will be the new face of Istanbul and will attract more tourists.

As soon as the project is implemented, Istanbul will have the opportunity to gain more shares from the tourism cake for the cruises worth $20 billion.

While increased values appear in the tourism transactions by cruisers, Galataport's inclusion in the tour operators portfolio will gradually increase Istanbul's tourism incomes.

About a 139,000 square meter construction area will be reserved for the Project Galataport and most of it will be used for cruise tours and tourism deals.

There will be a fair and congress center of 13,221 square meters and art museum of 11,000 square meters. Hotel complexes, shopping centers and fair and exhibition halls will replace the public buildings on the coastal band.