Key Takeaways
- • Türkiye Wealth Fund (TVF) and Turkcell agreed to buy a combined 46% stake in Togg for €368 million ($412 million), lifting state-controlled entities to 69% once completed, according to Anadolu news agency.
- • The agreements were signed November 2 and disclosed to the Public Disclosure Platform (KAP) on Tuesday; completion is subject to regulatory approvals and contractual conditions.
- • The deal implies an overall valuation of roughly €800 million ($900 million) for Togg, with prices determined through negotiation.
- • After closing, TVF becomes Togg's largest shareholder with 35%, while Turkcell rises from 23% to 34%; BMC keeps 23% and TOBB holds 8%.
- • Vestel will use at least 90% of its €184 million proceeds to repay maturing bank loans within 30 days, amid net financial debt of TL 106.1 billion ($2.1 billion) and a push to restructure $500 million in 2029 bonds.
Summary
Türkiye's sovereign wealth fund and telecommunications operator Turkcell have agreed to buy a combined 46% stake in domestic electric carmaker Togg for €368 million ($412 million), according to the state-run Anadolu news agency. The agreements, signed on November 2 and disclosed to the Public Disclosure Platform (KAP) on Tuesday, would give state-controlled entities a 69% stake in the company once completed.
Under the terms, Anadolu Group will sell 12% of Togg to the Türkiye Wealth Fund (TVF) and another 11% to Turkcell, for a combined €184 million. Turkcell will pay €88 million for its 11% stake. Vestel will transfer its entire 23% holding to the TVF for a further €184 million. The transactions are subject to regulatory approvals and the fulfillment of contractual conditions. The agreed prices imply an overall valuation of approximately €800 million ($900 million), though the companies said the amounts were determined through negotiations.
Once completed, TVF will directly own 35% of Togg, becoming its largest shareholder, while Turkcell's stake rises from 23% to 34%. BMC will retain 23% and the Union of Chambers and Commodity Exchanges of Turkey (TOBB) will hold the remaining 8%. TVF holds a 26.2% stake in Turkcell through a subsidiary and has special voting rights giving it control of the operator, so it will control Togg both directly and through Turkcell. Reuters first reported on August 31, citing three sources, that Anadolu Group and Vestel were preparing to exit and that the TVF was expected to become a shareholder.
For Vestel, the sale comes amid mounting financial difficulties. The electronics manufacturer said at least 90% of the €184 million proceeds would go toward repaying maturing bank loans within 30 days of receipt. Vestel reported net financial debt of TL 106.1 billion ($2.1 billion) and a net loss of TL 10.3 billion in the first half of 2026, and is also seeking to restructure $500 million in outstanding bonds due in 2029.
Togg has grown sales despite continuing losses. It sold 44,187 vehicles in Türkiye in the first ten months of 2026, up 60.8% year on year, according to the Automotive Distributors and Mobility Association (ODMD), even as the passenger car and light commercial vehicle market contracted 15.3%. The company sold 39,020 vehicles in 2025 but posted a net loss of TL 14.6 billion ($292 million), versus TL 13.8 billion in 2024. Turkcell reported a TL 305.5 million share of profit from Togg in the first quarter of 2026, but its six-month statements showed a cumulative share of loss of TL 81.5 million. Former Renault Türkiye chief executive Hakan Doğu has questioned Togg's path to profitability, estimating it would need to produce 200,000 to 300,000 vehicles annually.
The project, launched in 2018 after President Recep Tayyip Erdoğan called on Turkish industrialists to develop a domestic car brand, received extensive state support, including tax and investment incentives, favorable financing, customs duty exemptions, land in Gemlik, and a state purchase commitment for 30,000 vehicles through 2035. The original consortium of Anadolu Group, BMC, Turkcell, Zorlu Holding, Kök Group and TOBB has already lost Kök Group, which withdrew in 2021. With the planned exits of Anadolu Group and Vestel, a Zorlu Holding subsidiary, the ownership shift marks a significant move toward state influence in the carmaker.
Under the terms, Anadolu Group will sell 12% of Togg to the Türkiye Wealth Fund (TVF) and another 11% to Turkcell, for a combined €184 million. Turkcell will pay €88 million for its 11% stake. Vestel will transfer its entire 23% holding to the TVF for a further €184 million. The transactions are subject to regulatory approvals and the fulfillment of contractual conditions. The agreed prices imply an overall valuation of approximately €800 million ($900 million), though the companies said the amounts were determined through negotiations.
Once completed, TVF will directly own 35% of Togg, becoming its largest shareholder, while Turkcell's stake rises from 23% to 34%. BMC will retain 23% and the Union of Chambers and Commodity Exchanges of Turkey (TOBB) will hold the remaining 8%. TVF holds a 26.2% stake in Turkcell through a subsidiary and has special voting rights giving it control of the operator, so it will control Togg both directly and through Turkcell. Reuters first reported on August 31, citing three sources, that Anadolu Group and Vestel were preparing to exit and that the TVF was expected to become a shareholder.
For Vestel, the sale comes amid mounting financial difficulties. The electronics manufacturer said at least 90% of the €184 million proceeds would go toward repaying maturing bank loans within 30 days of receipt. Vestel reported net financial debt of TL 106.1 billion ($2.1 billion) and a net loss of TL 10.3 billion in the first half of 2026, and is also seeking to restructure $500 million in outstanding bonds due in 2029.
Togg has grown sales despite continuing losses. It sold 44,187 vehicles in Türkiye in the first ten months of 2026, up 60.8% year on year, according to the Automotive Distributors and Mobility Association (ODMD), even as the passenger car and light commercial vehicle market contracted 15.3%. The company sold 39,020 vehicles in 2025 but posted a net loss of TL 14.6 billion ($292 million), versus TL 13.8 billion in 2024. Turkcell reported a TL 305.5 million share of profit from Togg in the first quarter of 2026, but its six-month statements showed a cumulative share of loss of TL 81.5 million. Former Renault Türkiye chief executive Hakan Doğu has questioned Togg's path to profitability, estimating it would need to produce 200,000 to 300,000 vehicles annually.
The project, launched in 2018 after President Recep Tayyip Erdoğan called on Turkish industrialists to develop a domestic car brand, received extensive state support, including tax and investment incentives, favorable financing, customs duty exemptions, land in Gemlik, and a state purchase commitment for 30,000 vehicles through 2035. The original consortium of Anadolu Group, BMC, Turkcell, Zorlu Holding, Kök Group and TOBB has already lost Kök Group, which withdrew in 2021. With the planned exits of Anadolu Group and Vestel, a Zorlu Holding subsidiary, the ownership shift marks a significant move toward state influence in the carmaker.
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