Malaysian fund buys 90 pct of Turkey-based insurer

DUBAI - Reuters

Malaysia’s state-run investment fund Khazanah Nasional Berhad has bought 90 percent of Turkey-based health insurer Acıbadem Sigorta for $250 million.

Emerging markets private equity firm Abraaj Group has agreed to sell its 50 percent stake in Acıbadem Sigorta to Khazanah Nasional Berhad, Abraaj has said in an emailed statement.

Khazanah Nasional also bought a 40 percent stake in the insurance firm held by Turkey’s Aydınlar family for cash, the statement said, without giving further financial details.

Mehmet Ali Aydınlar will remain to be the chairman of Acıbadem Sigorta as holding a 10 percent of the company.

Sources had told Reuters last week that three global firms were in the race to buy a stake in Acıbadem Sigorta, including Sompo Japan Insurance, Malaysia’s state-run investment firm Khazanah Nasional Berhad and British medical services group Bupa.

Acıbadem Sigorta is a 50-50 joint venture between a holding company owned by Dubai-based Abraaj and Mehmet Ali Aydınlar, founder of Turkey’s Acıbadem health group, with a market share of just over 10 percent.

About 18 months ago Abraaj, which manages around $7.5 billion in assets, sold its stake in Turkey’s largest hospital chain Acıbadem Sağlık to Integrated Healthcare Holdings, a unit of Khazanah, in a deal which valued Acıbadem Sağlık at $1.68 billion.