AccessTurkey raising €250m fund

The Turkish alternative asset manager is set to raise a domestic mid-market buyout fund, as the country continues to attract international buyout firms while local firms grow in size and number.

AccessTurkey Capital Group is planning a first close on a Turkey private equity fund in the third quarter of this year on €100 million ($145 million) to €120 million, according to the company’s Frank RoccoGrande.

It is aiming to raise a €250 million fund and targeting businesses of between €30 million and €120 million, although it will invest in businesses of up to €250 million.

RoccoGrande said: “We’ve had a pretty good reception from limited partners with a growing interest in Turkey.”

The company was founded in 1999 by Mustafa Sey, initially as a hedge fund to invest his own primary capital. In 2000, Sey set up a venture arm iLab Ventures which has invested in five online businesses. The venture arm bought in March 2006. In September 2007 it was joined by online retailer eBay, which took an undisclosed stake in the business.

The business has done one larger private equity deal acquiring automotive parts business Olguncelik in January 2006 for an undisclosed sum.

It also raised a €250 million real estate fund last year.

There were two significant closes by Turkish domestic firms last year with Turkven and Actera both closing funds greater than $400 million.

The country has also attracted occasional larger buyouts, with Kohlberg Kravis Roberts doing its first deal in the country last year acquiring shipping company UN Ro-Ro for €910 million.

Three separate bids at around $3..3 billion are in due diligence with Turkish retailer Migros. These are: European buyout firm BC Partners and Turkish firm Turkven; global investment firm The Blackstone Group and trade partner Agrokor; as well as global buyout firm Kohlberg Kravis Roberts. The Blackstone Group’s bid is thought to be in the lead, according to local sources.