Zorlu Holding AŞ sold 1,300,000 Vestel Elektronik Sanayi ve Ticaret AŞ ("Vestel Elektronik") shares at a price of TL 15.88 per share on Borsa Istanbul on June 26, 2020 with the aim of increasing the liquidity in the shares, expanding the institutional investor base and thereby ensure that Vestel Elektronik is included in the leading stock market indices at home and abroad. Following the transaction, the Company's share in Vestel Elektronik declined to 71.63%.
Vestel Elektronik announced consolidated sales revenues of TL 3,931 mn (US$ 645 mn) and net profit of TL 230 mn (US$ 49 mn) in 1Q20.
Click here for 1Q20 CMB financials.
Vestel Elektronik Sanayi ve Ticaret AŞ’s Board of Directors made the following decision.
Vestel Elektronik Sanayi ve Ticaret AŞ recorded TL 324,047,000 of net profit in its consolidated financial statements prepared within the framework of the Communiqué on the Principles of Financial Reporting in Capital Markets numbered II-14.1 and in compliance with the Turkish Accounting Standards/Turkish Financial Reporting Standards and audited by PwC Bağımsız Denetim ve Serbest Muhasebecilik Mali Müşavirlik AŞ, and TL 448,129,294 of net profit in its statutory financial statements prepared in accordance with the Turkish Commercial Code and Tax Procedure Law.
Taking into account the conditions set forth in the Company’s Profit Distribution Policy; the Board resolved to propose not to make any profit distribution and to add the 2019 profit to extraordinary reserves after setting aside the required amount for the first legal reserve in order to strengthen the financial structure of the Company and not to create an additional funding requirement considering the current economic outlook, the liquidity, investment and financing policies of the Company as well as to protect the long term interests of the shareholders, employees and the Company. This proposal will be submitted to the approval of shareholders at the Company’s 2019 Annual General Meeting.
Click here for the Dividend Distribution Table
Vestel Elektronik Sanayi ve Ticaret AŞ’s Board of Directors made the following decision.
Taking into consideration the assessment of the Audit Committee dated 2 June 2020, the Company’s Board of Directors resolved to nominate KPMG Bağımsız Denetim ve Serbest Muhasebeci Mali Müşavirlik Anonim Şirketi to audit the Company’s financial reports for the fiscal year 2020 in accordance with the Turkish Commercial Code, the Capital Market Law and related regulations and to carry out the other duties required under these laws and to submit this selection to the approval of shareholders at the Company’s 2019 Annual General Meeting.
Vestel Elektronik Sanayi ve Ticaret AŞ's Board of Directors made the following decisions.
Vestel Elektronik Sanayi ve Ticaret AŞ’s Annual General Meeting for the year 2019 will be held on 30 June 2020 at 10:00 am at the address of Levent 199 Büyükdere Caddesi No: 199 34394 Şişli/Istanbul in order to discuss and resolve the aforementioned agenda items.
The Board of Directors is authorized to make the invitation for the Annual General Meeting in accordance with the Company's Articles of Association and related regulations.
Pursuant to the Capital Markets Board’s Corporate Governance Principles and Communiqués, the agenda item, the documents and the reports to be discussed at the Annual General meeting will be submitted to the information of the shareholders at the Company’s www.vestelinvestorrelations.com website under the "Information Memorandum for the Annual General Meeting" heading and the Board of Directors is authorized to make the necessary material event disclosures.
Click here for the Invitation.
Click here for the Agenda.
Zorlu Holding AŞ sold 5,500,000 Vestel Elektronik Sanayi ve Ticaret AŞ ("Vestel Elektronik") shares at a price of TL 13.05 per share on Borsa Istanbul on June 1, 2020 with the aim of increasing the liquidity in the shares, expanding the institutional investor base and thereby ensure that Vestel Elektronik is included in the leading stock market indices at home and abroad. Following the transaction, the Company's share in Vestel Elektronik declined to 72.02%.
Pursuant to our material event disclosure dated 10.04.2020, Standard & Poor's upgraded Vestel Elektronik's long term corporate credit rating from "SD" to "CCC-". The outlook on the rating is negative.
Standard & Poor's has temporarily downgraded Vestel Elektronik's long term corporate credit rating from "CCC+" to "SD" on April 10, 2020. The rating revision is due to Company's plan to extend the maturity of some of its financial obligations due until June 2020 in consent with related financial institutions and the impact of Covid-19 on operations. S&P will reassess the rating once the process for maturity extension is completed
Pursuant to our material event disclosure dated 25.03.2020, Vestel Elektronik will resume its production activities as of April 6, which were temporarily suspended during March 30 and April 5 within the framework of the precautions taken to reduce the effects of the global Coronavirus pandemic to protect the health of employees and the public. The plants will start operations with a lower capacity due to measures taken such as rescheduling of shift hours, reduction in the number of employees working per shift, disinfection of work areas during the breaks between the shifts and maintaining social distance in physical working conditions. If circumstances and developments require, an application for short-term work allowance will be considered.
Due to the worldwide effects of the Coronavirus (COVID-19) outbreak and with Europe, which is Vestel Elektronik’s major export market, becoming the new epicenter of the pandemic, Vestel Elektronik started to receive requests from its international clients to defer orders. As a result, the Company, which exports most of its output abroad, will suspend production at its plants for one week between March 30 and April 5. The other operations of the Company will continue within the framework of the numerous health and safety measures already taken. Important developments on the subject will be announced to the public.