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ARTICLE · 19 DECEMBER 2013

Squeeze-Out In Group Companies

The Turkish Commercial Code No. 6102 ("TCC") enables squeeze-out and exit rights of shareholders from joint stock companies in certain circumstances.

TurkeyCorporate/Commercial Law

Introduction

The Turkish Commercial Code No. 61021 ("TCC") enables squeeze-out and exit rights of shareholders from joint stock companies in certain circumstances.

These rights are important in ensuring a balance of interest within the company. The legislative policy aims on the one hand to audit and control competition, and to control companies in a given market, but on the other hand encourages strong companies with a strong presence in the international arena (for example facilitated mergers and acquisition processes and tax incentives)2. The right to squeeze-out a minority with a material dissent of opinion also serves to establish a peaceful environment within a corporation and serves to establish a strong, concentrated company.

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