Chinese Group Close to Terminating Turkey Expressway Deal

(Bloomberg) — A group of Chinese investors who had agreed to buy a stake in an expressway project in Turkey will seek to terminate that deal after failing to close the terms of the transaction, according to an exchange filing.

The consortium will begin talks after receiving a request from the seller as the two sides were unable to reach an agreement on the terms of refinancing, a required condition of completion, according to a Hong Kong exchange filing from Zhejiang Expressway Co. Ltd., one of the members of the group.

The investors, which include China Merchants Expressway Network & Technology Holdings — owned by China Merchants Group — in March secured backing from some of the country’s biggest banks for the deal, which had been disrupted by the pandemic. The group had initially agreed to buy the stake in 2019.

Contact editor Michael Bellart (michaelbellart@caixin.com)

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