Turkey's Bad-Loan Talks In Deadlock as Banks and Investors Clash

Turkish banks disagreed on almost everything with potential investors when they met for the first round of talks about unloading a mountain of bad loans, according to people who were at the gathering in Istanbul last week, Bloomberg News reported. The deadlock between potential buyers, including Goldman Sachs Group Inc. and Bain Capital LP, involved the price and structure of any transaction, some of the people said, asking not to be identified because the gathering was private. Attendees couldn’t even agree on the definition of a non-performing loan, one of the people said. The meeting was at a working level and discussions were preliminary, the people said. While the plan to clear up the banks’ books is a key part of government plans to bolster a weakened financial system, some of the participants questioned whether there would even be more talks, some of the people said. Read more