Turnover Calculation Involving Financial Institutions in Turkish Merger Control Regime

Rules on calculation of turnover are contained in Communiqué No. 2010/4 Concerning the Mergers and Acquisitions Calling for the Authorization of the Competition Board (Communiqué No. 2010/4) and the Guidelines on Undertakings Concerned, Turnover and Ancillary Restraints in Mergers and Acquisitions. Under Article 9 of Communiqué No. 2010/4, which was amended with Communiqué No. 2022/2 on the Amendment of Communiqué No. 2010/4 (Amendment Communiqué) having entered into force on May 4, 2022, there are special rules on calculation of turnover for particular businesses.

Concerning financial institutions, the turnover shall consist of the sum of the following:

• For banks: (i) interest and profit-sharing income, (ii) fees and commissions collected, (iii) dividend income, (iv) commercial profits/losses (net), and (v) other operational income.
• For financial leasing, factoring and funding companies: (i) real operating income and (ii) other operating income.
• For intermediary institutions and portfolio management companies: (i) revenues, (ii) revenues from financial sector operations, (a) fees, premiums, commissions and other income from services, and (b) income from portfolio management operations, (iii) other real operating income, (iv) income from investment operations, (v) shares in the profits of the investments valued via the equity method, and (vi) finance income.
• For insurance, reassurance and pension companies: (i) domestic direct premium production for insurance companies (gross), (ii) domestic direct premium production for reassurance companies (gross), and (iii) total amount of contributions and total amount of funds in pension companies, as well as domestic direct premium production (gross) for those pension companies which also operate in life insurance.
• For other financial institutions: (i) interest and similar income, (ii) income generated from securities, (iii) commissions, (iv) net profit generated from financial activities, and (v) other operation income.

For more information on turnover calculation involving financial institutions in Turkish merger control regime, please feel free to reach out to ELIG Gurkaynak at +90 212 327 1724 or through gonenc.gurkaynak@elig.com.