Türkiye plans IPOs for state energy companies, minister says

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Türkiye plans initial public offerings (IPO) for state-owned energy companies to strengthen their institutional structures, the energy minister said late on Monday.

Türkiye state-owned energy companies include electric transmission company TEIAS, electricity producer EUAS, gas grid operator BOTAS and oil and gas developer TPAO.

“Our aim is to make those (companies) modern and get them in a state befitting their size through public offerings that solely our citizens and small investors would benefit from,” Energy Minister Alparslan Bayraktar told a parliamentary commission.

Bayraktar said Türkiye’s government does not plan to privatise state energy companies, meaning it will not sell stakes of those companies to a single private company or consortium.

“Those (companies) need stronger institutional structures. In this developing world order, it’s very difficult to manage them with an understanding of classical state enterprises,” he said.

Legal amendments are needed to launch IPOs for state energy companies, and Türkiye’s government will seek parliament’s support for the planned amendments, the minister said, without providing a timetable.

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