| New empire for Ottoman Bank It is still called Bankalar Caddesi, bank street, but shops selling light fittings have taken over most of the premises that were once occupied by bank headquarters in Pera, Ottoman Istanbul's European quarter. Driven away by traffic and pollution, banks moved to custom-made new buildings in the outer districts of the city where access is easier. The only bank which still resides on Bankalar Caddesi is the venerable Ottoman Bank which occupies a colossal nineteenth-century stone building blackened by smog. But Ottoman too may soon leave. Turkey's oldest bank has been bought by Ayhan Sahenk, a leading Turkish contractor, who is collecting banks in the way that other rich men collect antique cars. Ottoman Bank has been acquired through a leveraged buyout by Garanti Bankasi - the largest of Sahenk's four banks - for $245 million from Compagnie Financière Ottomane which is controlled by Banque Paribas. (The other banks held by Sahenk's holding company Dogus are Korfezbank, Bank Ekspres and United Guaranty Bank of Amsterdam.) The deal is expected to be completed in mid-June when cash is exchanged for shares. The Turkish treasury has already given its blessing, and due diligence, analysis and appraisal of the bank have been completed without revealing any irregularities. |