SOCAR plans to buy EWE’s Turkish energy business in first quarter
ISTANBUL - Reuters
Azeri energy firm SOCAR is in advanced talks to acquire the energy business of Germany’s EWE in Turkey by the first quarter of 2019, an official for SOCAR and two sources familiar with the deal have said.
It aims to take up a fifth of the natural gas market in neighbouring Turkey, where 54 billion cubic meters of gas were consumed last year.
“We expect the purchase to be completed in the first quarter, we can confirm this,” an official from SOCAR’s Turkish unit said, when asked by Reuters about a purchase of EWE’s energy business in Turkey.
EWE’s energy operation in Turkey includes Bursagaz and Kayserigaz, the gas distribution networks in the industrial cities of Bursa and Kayseri. It also includes the EWE Enerji and Enervis businesses, which are involved in energy trade and service, according to EWE’s annual report.
“SOCAR Turkey’s purchase of EWE’s two natural gas distribution units has reached an advanced stage. EWE also received many other local offers. SOCAR emerged first among the offers,” one of the sources with direct knowledge of the talks said.