TeliaSonera has initiated an arbitration proceeding at the International Court of Arbitration of the International Chamber of Commerce based on breach of a shareholders' agreement between TeliaSonera and Cukurova concerning Turkcell. The arbitration will take place in Vienna.
TeliaSonera claims that the announced transaction between Cukurova and Alfa concerning indirect shareholding interests in Turkcell breaches the shareholders' agreement between TeliaSonera and Cukurova and allege, among other things, that Cukurova's transfer of indirect shareholding interests in Turkcell triggers TeliaSonera's right of first refusal to the shares in question.
TeliaSonera has earlier in June 2005 initiated an arbitration proceeding against Cukurova. In that proceeding TeliaSonera allege that Cukurova has breached an agreement to sell the shares in question to TeliaSonera.
Anders Igel, TeliaSonera's President and CEO comments: "The latest developments clearly show that the intention has been to immediately sell indirect shareholding interests in Turkcell without respecting TeliaSonera's rights according to the shareholders' agreement with Cukurova. It is unfortunate that we have to start another legal process around this matter, but we believe it is important to fight for our rights and for a proper conduct of international business."
