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“TPG, News Corp, Time Warner bid for Turkey’s Çalık media” – Today’s Zaman

Photo : Cihan. Source : Today's Zaman

“TPG Capital, News Corp and Time Warner have placed bids for the media assets of Turkey’s Çalık Holding, which also has interests in energy and finance, three sources close to the matter told Reuters on Monday.

“TPG, (News Corp’s Rupert) Murdoch and Time Warner placed bids. I know TPG is very aggressive,” said a source close to the deal, adding the submitted bids were around $1 billion, near the asking price.

He said the sale process could be completed in February.

Çalık bought ATV-Sabah for $1.1 billion in 2007 from the Savings, Deposits and Insurance Fund (TMSF). Çalık took on $750 million of bank debt in April 2008 to finance that acquisition.”

Source : Today’s Zaman

“Murdoch a contender to buy Atv-Sabah” – Sabah

“According to Wall Street Journal, News Corp may be joining the likes of Time Warner Inc. and TPG Capital to offer bids for Sabah-ATV.

Çalık Group and its advisors at Goldman Sachs were seeking preliminary bids on Wednesday; however the deadline to bid for Turkey’s second largest media conglomerate has now been pushed back to next week, allowing for News Corp to also be a contender.

The sale process for the Sabah-ATV media conglomerate run by young prominent business leader Serhat Albayrak , which includes the highly competitive newspaper and television station as well as a series of popular magazines, has already received interest from U.S. media giant Time Warner Inc. and private-equity firm TPG Capital. According to The Wall Street Journal, Rupert Murdoch’s News Corp will also be putting up a bid. Sources say Sabah-Atv is valued somewhere between $700 million and $1 billion. A bid from News Corp., which also owns The Wall Street Journal, could push the sales figure to the higher end of that range or above.

In 2008, Çalık Group, which also has interests in construction, energy, textiles, finance and telecommunications, acquired Sabah-Atv from the state for $1.25 billion.”

Source : Sabah

“Race for ATV-Sabah heats up as Murdoch joins in” – Sunday’s Zaman

“Friday’s report in The Wall Street Journal that Australian-American media mogul Rupert Murdoch’s giant News Corporation was mulling over acquiring Turkish Çalık Holding’s Sabah daily and ATV station will boost the competitors’ bids for the sale, observers argue.

Çalık recently announced he was putting Sabah and ATV on sale and that the US investment management firm Goldman Sachs was authorized for the sale. The WSJ quoted sources close to News Corp that the company last Wednesday demanded Goldman Sachs to extend the pre-proposal date for the sale, which gave Murdoch another week to come up with an offer. The WSJ also claimed the sale process has drawn interest from bidders including Time Warner Inc. and private equity firm TPG Capital. The offer could be between $700 million and $1 billion, and the presence of another bidder such as News Corp could increase the deal at the high end of that range or above, the WSJ report said.

This is not the first time Murdoch has voiced interest in the Turkish media market.

Murdoch and his partner Turkish-American music magnate Ahmet Ertegün’s Atlantic Records acquired Turkish Huzur Radyo TV AŞ. — the owner of TGRT TV — for $98 million in 2006. TGRT’s name was later changed to Fox TV and it continues operating under this name in Turkey. The mogul in 2007 shared plans with the Turkish government that he “seriously contemplated the acquisition of Sabah and ATV” when they were put on sale by the state’s Savings Deposit Insurance Fund (TMSF). Following confiscation by the TMSF from Turkish business tycoon Turgay Ciner’s Merkez Media Group in 2007, the Çalık Group acquired Sabah and ATV along with other smaller entities for $1.25 billion in 2008. In addition to top-rated entertainment station ATV and major daily Sabah, Çalık Group also currently owns smaller newspapers Takvim, Günaydın, Yeni Asır and Pas Fotomaç, radio station Radio City, 10 magazines and their properties, brand names and equipment. […]””

Source : Sunday’s Zaman

“Murdoch’s News Corp. plans bid to buy Turkish media group” – Today’s Zaman

News Corporation CEO Rupert Murdoch holds a copy of The Sun and The Times as he is driven away from his flat in central London on July 11, 2011. (Photo: Reuters / Source : Sunday's Zaman)

“Rupert Murdoch’s News Corporation is considering a bid to buy one of Turkey’s biggest media groups, which owns the Sabah daily and popular TV station ATV, according to a report by The Wall Street Journal (WSJ), one of the media outlets owned by News Corporation.

The Turkish group is currently owned by Çalık Holding, a business conglomerate run by Prime Minister Recep Tayyip Erdoğan’s son-in-law.

Çalık and its advisors at Goldman Sachs Group Inc. sought preliminary bids Wednesday but have pushed back the deadline until next week, in part to accommodate News Corporation, WSJ reported Friday, quoting unnamed sources that it said were familiar with the issue.

The value of Sabah-ATV is estimated to be between $700 million and $1 billion, according to the WSJ report.

The WSJ said US media giant Time Warner Inc. and private-equity firm TPG Capital are also interested in Sabah-ATV.

News Corporation, which owns a number of media outlets — including the Daily Telegraph, New York Post and Fox Broadcasting Company — in many countries, also holds the majority share of popular television station Fox TV in Turkey.”

Source : Today’s Zaman

“Calik media sale to get airing in February” – Reuters

By Seda Sezer and Asli Kandemir

* Goldman Sachs hired for sale -sources
* Comes after Calik placed on watch list by Fitch
* No problems redeeming $200 mln bond -company official (Releads with media sale)

ISTANBUL, Jan 18 (Reuters) – Turkish group Calik Holding may complete the sale of media assets ATV and Sabah in February, sources told Reuters on Wednesday.

Earlier in the day, a Calik official insisted the group would have no problem redeeming a maturing $200 million unsecured note after Fitch Ratings placed the company on a watch list due to refinancing concerns.

Calik hired Goldman Sachs this month to steer the sale of ATV and Sabah, according to sources close to the matter, who added the initial bidding round will close on January 18.

Private equity funds including TPG Capital and KKR & Co, along with Time Warner and RTL Group — Europe’s biggest commercial broadcaster — are among interested bidders, the sources said.

“Calik Group does not have a financing problem. It will make a strategic decision on whether to exit media. I do not think the process would take too long because Goldman Sachs studied the media sector very well and Calik is only talking to a very few investors,” a source close to the deal told Reuters.

“Bids will be collected until the beginning of February and the sale may finalise in February,” the same source said. Another source close to the matter also confirmed bids will be collected until February.

Goldman Sachs was last year mandated for the sale of assets of Turkey’s biggest media group, Dogan Yayin, and was hired for the separate process of selling its flagship Hurriyet newspaper.

The interested bidders for Calik assets were also on the shortlist for Dogan Yayin assets, but that sale did not happen.

Credit rating agency Fitch said on Tuesday it had placed the $200 million, five-year bond issued by Globus Capital Finance and guaranteed by Calik, on rating watch negative.

“There is no problem with the redemption. We will make the redemption,” a Calik Holding official told Reuters on Wednesday.

The redemption by Calik, which also has interests in energy and finance, is due on March 5.

The 8.5 percent bond has been falling in recent weeks, and was trading at a yield of almost 25 percent on Wednesday.

“Fitch assumes that Calik will need to get additional bank lines or external funding to meet the maturity which, to Fitch’s knowledge, have yet to be put in place,” the agency said.

It added the Sabah and ATV media assets were thinly capitalised, considering the competitive market they were in and the current and projected working capital needs.

Calik took on $750 million of bank debt in April 2008 to finance that acquisition. (Editing by David Hulmes)

Source : Reuters

“Gloomy Greeks forget woes with lavish Turk TV dramas” – Sabah

Source : Sabah

“When an Athens taxi driver learned his passenger was the boss of an Istanbul-based company that brings Turkish TV dramas to Greece he reached for his phone, called his wife and put her through to the man sitting in the back seat.

“She had to know what happens next,” Global Agency chief executive Izzet Pinto said with a laugh. “I was expecting success but not like this.”

It all began when crisis-stricken Greek TV channels realized soft that buying the glitzy tales of forbidden love, adultery, clan loyalties and betrayal from long-standing regional rival Turkey, was cheaper than filming their own.

The action-packed dramas quickly came to dominate the ratings despite the fact that they are broadcast in Turkish with only subtitles in Greek and have gained a devoted following among a Greek populace disheartened by the country’s biggest financial crisis in decades.

Local commentators even talk of a Turkish invasion, pointing to the history of enmity between the two countries who have been on brink of war on several occasions in the past.

Relations have warmed and natural disasters in both countries have brought them closer. But Greeks know little about the daily lives of urban Turks.

Panoramic views of Istanbul neighborhoods which were once home to large and vibrant Greek communities have also awakened a sense of nostalgia in Greeks for a place they refer to as “The City” or Constantinople.

“They remind me of a different era, of Greece in the 1960s when people dominated in life, not material things,” said 65-year-old Eleni Katsika, a dentist. “I watch them so I don’t get depressed.”

So fascinated are Greeks with the shows, that groups have started organizing trips to the island of Büyükada off the coast of Istanbul just to gawk at the set of one of the hit dramas, “Kismet.”

“JUST LIKE US”

Between stamping passports in a packed Athens police station, a young officer keeps an eye fixed on a tiny portable TV on the edge of her desk showing repeats of the latest prime-time hit, “Aşk ve Ceza” (Love and Punishment).

TV ratings for the shows in the small country of 11 million reached 40 percent in the summer, knocked off the top spot only by the occasional Champions League soccer match. Major channels ANT1 and Mega competed by showing a drama each at 9 p.m. and re-runs in the late afternoon.

“I realized hatred is manufactured by the guys at the top,” said Angeliki Papathanasiou, a 21-year-old law student. “You don’t see the bad enemy, you see the real Turk who falls in love, who gets hurt, who is like us,” she said of the shows.

As a result, dozens of Greek fan pages on Facebook are peppered with Turkish words like “harika” (wonderful) and “guzel” (beautiful). Some Greek magazines have started giving away CDs for intensive Turkish lessons.

Some Turks find the Greek success of the shows difficult to fathom despite the proximity of the two countries, which in some areas are separated by just a few miles.

“It comes as a shock to me,” said Asli Tunc, a media professor at Istanbul’s Bilgi University. “Greeks need a new kind of entertainment to forget about their problems and these serials seem to meet that demand for now.”

They are also a trip down memory lane to days when the economy was better, traditions were cherished, shoe polishers worked every corner and the local grocery store was a point of reference.

“‘Ezel’ and the other series portray a lost dimension of Greek society that has been buried in recent years,” novelist Nikos Heiladakis wrote in a local newspaper article about the success of one crime drama. “It awakens in today’s Greek a lost identity,” he wrote.

BREAKING DOWN WALLS?

In a way, the dramas are exporting Turkish culture, Global Agency’s Pinto said, even to a doubtful market like Greece.

“Greeks feel closer to Turks than they did,” he told Reuters. “Sometimes soft power is more important than political power.”

For the moment their grip on the audience remains strong and Pinto, whose company distributes three of the dramas to Greek TV and more than 30 other countries, expects to export about five or six dramas to Greece a year.

Next year will see the TV release of the controversial hit-series “Muhteşem Yüzyil” (Magnificent Century), based on 16th century sultan Suleiman the Magnificent, which so far has only been released as a DVD. Magazines selling DVDs of the episodes sell out within hours.

“I’ve not missed a single copy,” said Yiannis Panagoulis, a 40-year-old handyman. “At this rate I’m going to be speaking Turkish very soon. Who would’ve thought?” “

Source : Sabah

“Doğan says no longer considering media sale” – Sabah

“Doğan Group is no longer considering sales within its media group, the group’s founder and honorary chairman Aydin Doğan stated.

The Doğan Group, whose Doğan Yayin media group has had to cope with multi-billion lira tax fine cases, sold two dailies Vatan and Milliyet and the Star television channel under a recent restructuring process. Doğan’s statement clarified that the group has no intentions to sell Kanal D, Hürriyet, Posta or CNN Turk.”

Source : Sabah

“Organized crimes bureau stages raid on ratings” – Sabah

“The Department of Organized Crimes has staged a number of simultaneous operations on numerous production companies, including AGB.

A series of production companies and television stations have been brought under radar for acquiring unlawful profit through interferng with ratings.

Until present, 20 people have been taken into custody. Meanwhile the operation staged by Istanbul’s Organized Crimes Department is currently ongoing. “

Source : Sabah

“Former head of state media regulator detained” – Sabah

Source : Sabah

“Turkish police detained the former head of the state media regulator and three others on Wednesday in an investigation into an Islamic charity accused of embezzling donations and sending funds to a pro-government media outlet.

The investigation is linked to a 2008 court case in Germany, in which three senior members of the charity, Deniz Feneri, were found guilty and sentenced to jail.

Turkey’s ruling AK Party has denied any links to Deniz Feneri, based in Germany, but the case triggered accusations of government corruption.

The Islamic charity is accused of embezzling donations and sending some of the funds, mainly from Turks residing in Germany, to the pro-government media outlet, Kanal 7.

Those arrested were Zahid Akman, former head of the RTUK state media regulator, and three members of Kanal 7.

A German court said after the trial that Deniz Feneri e.V. had received 41 million euros ($59.16 million) of donations in Germany and that it sent 17 million euros to Turkey. “

Source : Sabah

“Doğan Yayın: unit tax fine slashed to 129 million lira” – Sabah

Source : Sabah

“Turkey’s leading publishing group Doğan Yayın said on Wednesday a tax fine for its Doğan Produksiyon unit had been reduced to 128.7 million lira ($80.94 million) from a previous 863 million under a tax amnesty deal.

Doğan said that this, the latest in a string of tax amnesty deals, brought its total tax fines to 988 million lira from a previous 4.2 billion lira. The group has not yet completed appeals on a remaining 770 million lira worth of tax fines.”

Source : Sabah

“Cukurova in talks to sell Show TV stake” – Sabah

“Turkey’s Cukurova Holding is in talks with two U.S. private equity firms to sell as much as 49 percent of its television channel Show TV to finance tax debts, a source close to the matter told Reuters.

Cukurova, which controls the country’s biggest mobile network Turkcell, is talking to KKR and Texas Pacific Group, the source said.

“Cukurova Group wants to keep a 51 percent stake,” he said.

Show TV is valued at at least $800 million and the valuation could easily rise above $1 billion based on a multiple of 12 times earnings, the source said.

Turkcell recently said it received orders from tax offices for the sequestration of the Turkcell assets of Cukurova for 1.68 billion lira ($1.06 billion) due to tax debts.

The source said Cukurova’s other units including Digiturk and Genel Enerji may be subject to stake sales to finance the tax debts.”

Source : Sabah

“Dogan group sells two leading newspapers” – Sabah

“Dogan Gazetecilik, the newspaper publishing unit of Turkey’s biggest media group Dogan Yayin, said Turkey’s Demiroren-Karacan partnership agreed to buy Milliyet and Vatan newspapers for $74 million.

Demiroren-Karacan group will pay $26 million for Vatan newspaper and $47.96 million for Milliyet, Dogan Gazetecilik said in a statement to the Istanbul Stock Exchange on Wednesday.

Dogan Gazetecilik shares were up 14.3 percent after the news but by 1418 GMT had reversed direction to trade 5.3 percent lower.

The shares fell because the sale price of the newspapers was lower than Dogan Gazetecilik’s market value, said analyst Hasan Sener at Oyak Securities. The newspapers make up the bulk of the company.

Dogan Gazetecilik’s market value stood at $283.7 million at yesterday’s close.

With the sale of Milliyet, the newspaper is back to its previous family owner.

Ali and Omer Karacan, who own the Number One broadcasting group, are the grandchildren of the founder of Milliyet, Ali Naci Karacan. Karacan sold the newspaper to Aydin Dogan in 1979.

The Karacan family has set up a partnership with Demiroren Group, which has interests in liquid propane gas and construction, to buy the newspapers.”

Source : Sabah

“SABAH receives three awards from İMEDYA” – Sabah

Source : Sabah

“Last night, İMEDYA’s “2010 Stars of Economy Awards” were distributed to their rightful owners in an awards ceremony. While SABAH was selected as the year’s most successful newspaper, Aytuğ and Yaşar were also awarded for their contributions.

Sabah received three awards in last night’s ceremony for the 10th Annual İmedya TV and 2010 Stars of Economy Awards”, which named Prime Minister Tayyip Erdoğan as 2010’s “Most Successful Leader.”

SABAH Editor-in-Chief Erdal Şafak received the award granted to the newspaper, while Yüksel Aytuğ was awarded as the most successful magazine columnist.

The third award recipient from SABAH Newspaper is Economy Writer Süleyman Yaşar. Yaşar received the Economy News Ethics Award, which is granted to promote serious, superior, high-quality, moral articles befitting of the sector’s ethics.

A COLOURFUL NIGHT

Last night’s İmedya Awards Ceremony, which was attended by Prime Minister Erdoğan, was a lively event. Held in the Rixos Hotel; amongst the attendees were Deputy Prime Minister’s Bülent Arınç and Cemil Çiçek, State Minister Zafer Çağlayan, former Minister of Transportation Binali Yıldırım, State Minister Egemen Bağış as well as a number of prominent figures from the economy world as well as famous musician Orhan Gencebay. Acclaimed clarinetist Hüsnü Şenlendirici added colour to the evening with a performance. While delivering an opening speech, İmedya Executive Board Chairman Münci İnci addressed Prime Minister Erdoğan by saying, “I love you.” Deputy Prime Minister Çiçek, Foreign Affairs Minister Ahmet Davutoğlu, State Minister Çağlayan, former Minister of Transportation Yıldırım and State Minister Ali Babacan were selected as the most successful ministers in 2010.

CONGRATULATIONS

Istanbul Mayor Kadir Topbaş was selected as the most successful municipal mayor. The award for the most successful banks for 2010 was awarded to Halk Bank and Garanti Bank. The most successful businessman award went to Ferit Şahenk and Fettah Tamince. Özgü Namal was selected as the most successful television series star for her role in Hanımın Çifliği. The awards for the most successful music stars were granted to Mustafa Ceceli, Enbe Orkestrası, Sertab Erener and Sıla. Meanwhile, the evening’s honorary award was handed to Orhan Gencebay. During his address, Gencebay delivered a message of brotherhood and afterwards Prime Minister Erdogan went and personally congratulated the musician.

The AWARD FOR 2010’S MOST SUCCESSFUL LEADER

After being selected as the most successful leader in 2010, and as he received his award, Erdoğan went on to state, “We do not make promises we cannot fulfill. In the past empty promises were made. Years past and none of these promises came to fruition.””

Source : Sabah

“Get to know Turkey’s movie and television viewers” – Sabah

“The Turkish audience’s number one preference is to watch films of the comedy genre. Films of choice should deal with political and social issues, whereas on television, Turkish viewers prefer to watch family shows.

Research commissioned by the Istanbul Chamber of Commerce and conducted by Galatasaray University, entitled The Positioning of the Film Industry in Turkey and Target Research has revealed surprising findings regarding television and film viewers in Turkey.

The research which spans over the past five years shows that a number of generalizations are not necessarily accurate. For example, the notion that ‘Art Films’ do not see much demand is not so true when it comes to DVD viewing. In fact, ‘Art Films’ are at times amongst the most highly viewed productions. Another finding that contradicts generalizations is that films based on social or political themes do indeed see demand. One of the most significant findings from the research conducted is that Turkey’s film industry is holding its own against demand for Hollywood films.

FILM

In terms of domestic film viewing throughout the globe, Turkey comes in sixth following India (%92), USA (%91.8), Egypt (%80), Japan (%56.9) and China (%56.6). In Europe, Turkey comes in first for the number of domestic films viewed. However despite these findings, the number of tickets, which on average is at 0.52 per person, comes in 13th in the world.
Ticket prices in Turkey, according to purchasing power are high in comparison to the United States and Europe. The average price for a film ticket is 8.35 TL.
In terms of genre, the Turkish public prefers comedy films (%41) followed by dramas (%21).
The most important factor for film viewers is genre. While 35 percent of viewers select films according to genre, 21.6 percent choose films based on whether they are domestic or international productions. Whether or not a film has received much media is not a significant deciding factor.
Sixty-one percent of viewers watch films in shopping centers, while 35 percent prefer boutique theaters.
Viewers enjot films according to their realism, believability and how much they draw the viewer in.
The Turkish public mostly enjoys social or political films (%31), followed by movies depicting ordinary life stories (%21) and love stories (%17).
Twenty-five percent of viewers go the moves once a year. 38 percent go 2-3 times a year and 18.7 percent go 4-5 times, while 9.3 percent go 6-10 times and 8.2 percent go to the movies more than ten times a year.
Viewers prefer domestic films when selectign a film to see in the theater, however when it comes to purchasing DVD’s it does not matter.
The Ministry of Tourism and Culture designated a 24, 089,000 TL budget for the film industry during the years 2005-2010, which resulted in the shooting of 158 films.
In making popular films, directors prefer to work with TV stars (%73) whereas directors for festival films prefer amateur actors (%67).
Legal DVD sales have surpassed 15 million. In DVD sales, the genre of preference is drama (%21) followed by comedy (%13).

TV

There are approximately 47 television series broadcasted each week.
Including advertising and sponsorship income, the television series sector’s total revenue is at one billion liras.
The mist highly viewed shows are family or neighborhood series (%52).
Stories surrounding the middle class or the impoverished are preferred vieing for television series.
Series are in general, set in Istanbul (%57).
The deicsion to watch a new television series is primarily based on previews (%28), topic (%26) and casting (%26).
Sixty-six percent of viewers believe that television series episodes run for too long.”

Source : Sabah

“Turkey approves broadcasting law on foreign ownership” – Sabah

Source : Sabah

“Turkey’s parliament approved late on Tuesday a law doubling to 50 percent the amount of broadcasters that foreigners can own, opening the way for more acquisitions from abroad.

Foreign investor interest in the country’s fast-growing media sector is expected to increase as a result of the legislation.

The foreign ownership article was approved individually on Jan 6 and the whole package of legislation was voted through on Tuesday evening.

Under the law, foreigners will be able to become partners in a maximum of two media institutions.

It also opens the way for broadcasting in foreign languages and dialects. The state broadcaster already has a Kurdish language channel.

Turkish media group Dogan Yayin, which owns major television stations as well as mass circulation newspapers such as Hurriyet and Milliyet, is in the process of selling assets.

U.S. private equity fund KKR, Time Warner and private equity fund Texas Pacific Group are among shortlisted bidders for assets in Dogan Yayin, which is embroiled in a legal battle over massive tax fines.

The ruling AK Party tried to reform foreign ownership rules in 2005 but the bill was vetoed by the former president.

The current president Abdullah Gul is a former AK Party member, and has a track record of approving legislation passed by the AKP-dominated parliament.”

Source : Sabah