Abraaj, Aydinlar Sell $252 Million Stake in Turkish Insurer

The Abraaj Group, the Middle East’s biggest buyout company, and the Mehmet Ali Aydinlar family agreed to sell a 90 percent stake in a Turkish health insurer to a Malaysian sovereign investment fund for $252 million.

Abraaj will sell its 50 percent stake in Acıbadem Sağlık ve Hayat Sigorta AŞ and the Aydinlars the remainder to a unit of Khazanah Nasional Berhad, Abraaj and Khazanah said in separate statements today. Mehmet Ali Aydinlar will continue to hold a 10 percent stake in the insurance company, Khazanah said.

Abraaj, which manages $7.5 billion and is based in Dubai, plans to sell two to three of its investments this year to attract fresh capital, senior partner Ahmed Badreldin said April 8. The company is seeking to divest stakes in Middle Eastern supermarket chain Spinneys, a Tunisian pharmaceuticals company and a unit of oil-and gas-service company Stanford Marine Group, a person with knowledge of the matter said earlier this year, asking not to be identified because the plans aren’t public.

Abraaj invested in Acıbadem Sigorta in 2007 following a partnership with Mehmet Ali Aydinlar, chairman and chief executive officer of Acibadem Healthcare, one of Turkey’s largest private healthcare groups. Abraaj divested its stake in Acibadem Healthcare in January 2012 to IHH Healthcare Berhad (IHH) and Khazanah in exchange of cash and shares in IHH, while retaining its 50 per cent shareholding in Acıbadem Sigorta.

Lazard and Raiffeisen Investment were financial advisers to Abraaj and the Aydınlar family, while Freshfields Bruckhaus Deringer and Kinstellar acted as legal advisers. Bank of America Merrill Lynch and CIMB were joint financial advisors to Avicennia Capital and Khazanah. The deal is subject to regulatory approvals in Turkey and Malaysia, the companies said.

Istanbul-based Acibadem Sigorta provides health insurance services to corporate and individual customers in Turkey.

To contact the reporter on this story: Shaji Mathew in Dubai at shajimathew@bloomberg.net

To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net

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