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Motor company BMC, one of Çukurova Group’s companies seized by Turkey’s Savings Deposit Insurance Fund (TMSF) in May, is planned to be sold to Çalık Group to manufacture a local car that is encouraged by the government, according to sources familiar with the firm.
The TMSF will sell BMC to Çalık Group, a conglomerate that has operations in energy, telecom, construction, finance, media, textile and mining, and “made in Turkey” cars will be manufactured in BMC, the sources claimed. BMC, reportedly, has already begun preparations for local car production, which has been promoted by the government in recent years.
BMC has been in a tight squeeze since May 2012, when the company first failed to pay salaries on time, and production at BMC factories has halted several times in the intervening period.
The Defense Ministry signed a deal in 2009 with BMC to produce 468 Kirpis, mine-resistant vehicles, to be delivered by the end of 2012. But BMC could not deliver 175 of 468 Kirpis. However, after the company was seized, TMSF announced that the company would restart the production of Kirpis. Hurriyet Daily News
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