Deal is expected to close during the second half of 2020, subject to obtaining regulatory clearances Disagreements between Turkcell’s shareholders have marred the smooth running of the company ISTANBUL: Turkey’s state-owned wealth fund, TWF, said Thursday it has acquired a controlling stake in the country’s leading GSM operator Turkcell, via the purchase of shares held by Swedish company Telia for $530 million. The transaction means that TWF, Turkey’s key investment arm, will be the largest shareholder in Turkcell and have effective control over its board of directors, the fund said in a statement. The deal is expected to close during the second half of 2020, subject to obtaining regulatory clearances. “We intend to support Turkcell management in its focus on innovation and their strategic initiatives such as 5G infrastructure while the company continues its pioneering role in product and services innovation,” said TWF chief executive Zafer Sonmez. “We strongly believe that Turkcell will remain as a performance-driven entity and its financial results will be positively affected with our contribution through resolving the decades-long shareholder governance issues,” Sonmez said. Separately, Telia confirmed it has agreed to sell its 47.1-percent stake in Turkcell Holding to the TWF for $530 million. Disagreements between Turkcell’s shareholders have marred the smooth running of the company. “The transaction also includes, subject to closing, a full and global settlement of all shareholder disputes and litigation connected to Turkcell and Turkcell Holding,” Telia said. Telia chief executive Allison Kirkby said offloading the stake would “reduce risk, improve leverage and increase liquidity” for the Swedish company and will “generate better shareholder returns in our core markets.”