2/12/2010

Private equity investors favor Turkey

   

Hurriyet Daily News - Turkish companies are attracting private equity funds that have noticed the country’s strong growth indicators in the wake of the financial crisis, according to an article posted by the news site businessneweurope.eu. In a story this week, the website pointed to Turkey’s large and relatively young work force, expanding regional trade links, open economy and developing capital markets as factors that have attracted investors in recent months.

 

Some of the recent international private equity purchases were focused particularly on healthcare. The Carlyle Group of the United States is one such investor: it has invested heavily in the Turkish healthcare sector, buying a 40 percent stake in Medical Park. Since 2005, Medical Park has grown to be Turkey’s second-largest healthcare services company, running and operating 13 hospitals. Carlyle is reportedly in talks to purchase stakes in two other Turkish companies, according to the website.

 

Abu Dhabi-based Investment firm Invest AD, which manages several funds investing in the Middle East, North Africa and Turkey, invested EUR 50 million in the Turkish logistics firm Ekol Lojistik in December. According to the Al-Bawaba website, Invest AD is currently in talks with Turkish companies in all sectors.

 

Business New Europe quoted Invest AD CEO Nazem Al-Kudsi as saying: “Turkey has all the most positive traits for investment found in our region – a youthful and growing population, a deep pool of managerial expertise, expanding trade links, an open economy and fast-developing capital markets.”

 

In October, the UK private equity firm Bridgepoint Capital bought a 33 percent stake in TuvTurk, a vehicle inspection group. Bridgepoint told Business New Europe that it expects the sector to grow as a result of growing car ownership and the need for Turkey to comply with European testing standards on its path toward the European Union.

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