Turk Venture Partners (Turkven) has closed the first Turkish private equity fund ever raised and managed by a local team of investment professionals.
Turkish Private Equity Fund I has raised $41m from a number of significant institutional investors led by the International Finance Corporation and the National Bank of Greece. Other participants include FMO, the Dutch development bank, FMO and DEG of Germany.
The fund will undertake to make equity investments of up to $15m in Turkish growth companies and invest alongside the Central and Eastern European investment team of Advent International, the global private equity firm that struck an exlusive partnership with Turkven in 2001 to start making private equity investments in Turkey.
According to Seymur Tari, a director of Turkven, “turkish companies have high growth potential, driven both by exports and a sizeable domestic market. There are a large number of well run, mid-sized and family owned Turkish companies, which are starting to broaden their vision and adapt their strategies to compete in international markets.”
Advent’s role in the venture will be co-ordinated by Joanna James, who heads up the firm’s Central European operations. Commenting on the announcement, James said: “We believe the time is ripe for private equity investment to begin in Turkey, paving the way for increased foreign direct investment.”