Saudi Arabian company eyes growth in Türkiye

Referans - The Abdul Latif Jameel Group (ALJ), one of Saudi Arabia's leading business conglomerates, has announced the receipt of many offers from Turkish companies seeking to be acquired. “We have been receiving purchase offers from various companies operating in many sectors in Türkiye, from textile to construction, following our acquisition of Sabanci Group’s shares in ToyotaSA for USD 85 million”, said Ali Haydar Bozkurt, Company Director for the European region. The company, which is eyeing growth in the market, has plans to invest USD 85 million for Toyota within the next five years and more than USD 50 million for Lexus. ALJ Lubnatsi Marketing and Sales, a subsidiary of Saudi Arabia-based ALJ, has bought 64.99 percent of Türkiye-based Sabanci Holding's stake in ToyotaSA, where it partnered with Toyota Motor Europe and Mitsui. The deal was announced on August 16. Under the terms of the new deal, ALJ Lubnatsi will become the major shareholder in Toyota Türkiye. Some 25 percent of the company will still be owned by Toyota Motor Europe, while Mitsui & Co. will hold a ten percent share. Simply owning the distribution rights of Daihatsu was not enough for the group, said Bozkurt. “We have been seeking opportunities to grow in the market for a while now. To this end, we have collaborated with HSBC bank. The bank told us Sabanci Holding might have been interested in selling its shares in ToyotaSA. We held the necessary talks.” It turns out ALJ had a “plan B” for Türkiye in case it was not able to become a Toyota distributor in Türkiye. In case they did not manage to reach a deal, the bank had offered ALJ two other companies they may have been interested in, said Bozkurt, who did not disclose the names of those companies. The company has a long-term strategy for its growth in Türkiye. “We may even invest another USD 85 million in the upcoming five to six years. We do not have financial problems. Our operations in Türkiye are of high importance”, said Bozkurt. “With Toyota, we aim to own a bit more than ten percent of Türkiye’s automotive market. In ten years, we aim to be the leader.”