IslamicFinance.de

Asya Katilim Bankasi AS (ASYAB), the Turkish banks in talks to sell a stake to Qatar Islamic Bank, has hired Goldman Sachs Group Inc (GS:US) as exclusive financial adviser on the deal. The Istanbul-based lender said in March that it was in exclusive talks with QIB for a strategic partnership, while the Doha-based bank said it was interested to take a stake in the lender. Bank Asya, in today’s filing, didn’t give more details. Bank Asya fell 2.9 percent to 1.66 liras at 10:35 a.m. in Istanbul. It’s gained about 14 percent this year.

Asya Katilim Bankasi AS (ASYAB), the Istanbul-based lender caught in a feud between the government and an Islamic movement, fell to its lowest in more than three weeks as Turkish Airlines (THYAO) said it was no longer using the bank. THYAO didn't say where it had transferred its deposits. As a result, Bank Asya’s shares declined 4.1 percent at 12:24 p.m. in Istanbul. The market may be concerned that Turkish Airlines removing deposits may have a negative impact on the funding structure of the bank. However, it was known in the market that THY took out large deposits before, so the market’s probably overreacting at the moment. The bank has lost 41 percent since Dec. 16, and its price-to-book ratio of 0.43 is the lowest in an index of 16 listed Turkish lenders.