Turkish infrastructure company Akfen Holding has sold its 40% stake in Mersin International Port to IFM Investors, an Australian infrastructure fund management company, for US$869 million.

Having previously transferred a 33% stake in Akfen Renewable Energy to the European Bank for Reconstruction and Development (EBRD) and International Finance Corporation (IFC), and an 8.1% stake in TAV Airports Holding to France-based airport operations company Aéroports de Paris earlier this year, Akfen has managed to attract yet another foreign investor to Turkey. It recently signed a share transfer agreement with IFM Investors, enabling it to takeover 40% of Akfen’s 50 percent stake in the port worth US$869 million.

Covering a total space of 1,100,000 square meters, the Mersin Port has 21 piers with a total length of 3,295 meters. The port provides services to ships that transport containers, dry and liquid bulk freight, general cargo, project cargo, ro-ro, passengers and live animals. Its piers are able to accommodate ships with up to 14-meter drafts.

The project was awarded a 36-year concession by the Turkish authorities in May 2007 to International Port of Singapore Authority (PSA) and Akfen following a competitive tender process.  

According to the terms of the agreement, Akfen Holding will transfer its shares to Global InfraCo SP NEUM SLU, owned by Australian IFM Investors, which in turn is owned, advised and managed by IFM Global Infrastructure Fund. Akın will retain his position as the chairman of Mersin International Port with his 10% stake.

Akfen Holding Chairman Hamdi Akın said that they will use the sales revenue in investment projects worth TRY6.9 billion (US$1.96 billion). He said:

“By making foreign investment partners and through the sale of block shares we are trying to bring in fresh foreign exchange into the country.”