By Doris Leblond
OGJ Correspondent
PARIS, Aug. 19 -- GDF Suez has won a bid for the privatization of Izmet Gaz Dagitim (Izgaz), a Turkish natural gas distribution and retail network owned by the city council of Izmit, which lies in the Kocaeli region 80 km east of Istanbul. Total acquisition cost was €367 million, of which €212 million is a debt being assumed.
Izgaz is Turkey's third largest gas distributor after Istanbul and Ankara distributors. GDF Suez will own 100% of the company when the deal is concluded and approval granted by Turkish energy regulator EDPK and the competition regulator.
GDF Suez will then sell 10% back to the Izmir city council.
Izgaz serves 200,000 customers and sells 1.7 billion cu m/year of gas.