KORTRIJK, Belgium (Feb. 20, 2008) — Turkey's Haci Omer Sabanci Holding A.S has agreed to sell its 50-percent stake in its Beksa Celik Kord Sanayi ve Ticaret A.S. steel cord joint venture to N.V. Bekaert S.A., the joint venture partner.
Bekaert, the world's largest independent supplier of steel tire cord, will pay an estimated $55 million for the interest. The sale is pending approval from "respective authorities," Bekaert said.
Bekaert and Sabanci Holdings established the joint venture in Izmit, Turkey, in 1988.
The venture recorded sales of about $110 million with about 330 employees in 2006, Bekaert said.
Sabanci cited the "increasing internationalization" of Beksa's client portfolio for its reason to sell, according to Turgut Uzer, president of Sabanci's tire, tire reinforcement materials and automotive businesses.
Bekaert said it will continue to develop Beksa as a supplier to the Turkish industry and build its export base, said Marc Vandecasteele, Bekaert group executive vice president.