Stay of execution on CAB decision regarding Erdemir privatization

Union of Chambers of Turkish Engineers and Architects (TMMOB) announced that 13th State Council halted the execution of the Turkish Competition Authority Board's (CAB) decision regarding Erdemir privatization. As previously reported by SteelOrbis, in October 2005, Oyak Group won the block sale tender by offering $2.77 billion for 46.12 percent of Erdemir. Together with the 3.17 percent stake of Turkish Development Bank to be sold at the same price, total stake to be sold increased to 49.29 percent. OYAK paid a total of $2.96 billion and took over the shares in February 2006. An official from TMMOB stated that 13th State Council halted the execution of the transfer on the ground that the CAB took a decision regarding Erdemir privatization with eight officials, which is illegal, whereas the decision was to be taken with seven officials. Comments on the verdict of stay of execution suggest that uncertainty regarding the legal process will exist for a little while.