Stellantis’ Turkish Unit Sale Faces Antitrust Review

Stellantis’ sale of its local distribution business in Turkey is encountering a new challenge as Turkish authorities reassess their previous decision to block the deal. According to sources familiar with the discussions, the Turkish Competition Authority (TCA) is reconsidering its ruling following talks between government officials and executives from Tofaş, the Turkish company set to acquire Stellantis’ distribution operations in the country.

The Turkish Competition Board had initially rejected the sale, valued at €400 million ($420 million), due to concerns that Stellantis and Tofaş had not made enough commitments to resolve regulatory issues. The deal would have given Tofas exclusive rights to import and distribute Stellantis brands like Peugeot, Citroën, Opel, and DS Automobiles in Turkey. Tofaş, which already manufactures Fiat vehicles and their parts, was also slated to begin producing Stellantis’ K0 light commercial vans starting in 2025.

Despite the setback, Tofaş saw its stock price surge by up to 10%, reaching ₺216.9 in Istanbul, marking the most significant jump in nearly three years. Koc Holding AS, the Turkish conglomerate that co-owns Tofaş with Stellantis, also saw a 4% increase in its stock value. Tofaş commented on the ruling, describing it as “an interim” measure and reaffirming its commitment to continuing discussions with authorities to resolve the concerns.

“The ruling was an interim step,” Tofaş said in a statement to Bloomberg, “and we are actively working with the authorities to address their concerns and reach a solution.”

The deal was part of Stellantis’ broader strategy to strengthen its position in emerging markets like Turkey, which the company views as a key growth area. Under former CEO Carlos Tavares, Stellantis focused on expanding in lower-cost countries to fuel its profits. The sale to Tofaş would have extended production of the Fiat Tipo / Fiat Egea sedan through 2025 and granted Tofaş exclusive rights to produce and distribute Stellantis vehicles in Turkey.

Without resolving the antitrust concerns, the deal cannot proceed as planned. While Stellantis and Tofaş have not revealed whether new commitments were made to address the Turkish regulators’ issues, ongoing discussions indicate that both companies are working to find a resolution. No final decision on the matter has been reached, and the outcome remains uncertain.

The final resolution of these talks could significantly impact Stellantis’ operations in Turkey and its strategy in the broader emerging markets, which are key to the company’s future growth.