6/11/2012

New foreign investors expected in Turkish banking sector

Hurriyet - As the recent acquisition of Denizbank by Russian lender Sberbank shows, Turkey’s crisis-proof banking sector, backed by strong economic prospects, stands out far ahead of its Eurozone peers in terms of growth and profitability.

Turkey’s financial services sector is to draw more foreign investments in the coming months, according to the Investment Support and Promotion Agency of Turkey (ISPAT) President, Ilker Ayci. “Following the Sberbank deal, another Russian bank has entered negotiations for an acquisition in the Turkish banking sector. We expect a deal soon,” said Ayci without disclosing the parties of the ongoing negotiation. Stating that the banking investments usually precede larger investments from their respective countries, Ayci said Turkey is likely to receive more investments from such countries. Japanese and Chinese banks are also interested in Turkey’s banking sector, the ISPAT President said.

Ayci also spoke of an international biotechnology convention taking place in Boston, USA, which ISPAT and more than a dozen Turkish companies are attending. “A delegation of Turkish companies and organizations led by Turkey’s Minister of Science, Industry and Technology, Nihat Ergun, will be attending the 2012 Bio International Convention for the first time,” said Ayci. “More than 60 countries will be present at this fair. High-ranking officials from Turkey’s leading pharmaceutical companies are also attending and there will be one-to-one meetings. Therefore, acquisition or partnership deals between Turkish and foreign companies are likely,” he added.

Foreign interest in Turkey’s pharma market has been high in recent years. US biotechnology giant Amgen acquired Turkish generics maker Mustafa Nevzat for USD 700 million last April. Zentiva, the Czech unit of French company Sanofi, had acquired 75 percent of the generic-drug unit of Turkey’s Eczacibasi in 2007 and later purchased the remaining 25 percent stake.
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Turkey; financial services sector; turkish banking market; sberbank; denizbank; ispat; ilker ayci; turkish finance sector; foreign banks turkey