Istanbul, Turkey, 24 January 2012: Abraaj Capital, a leading private equity manager investing in the rapidly growing economies of the Middle East, Turkey, Asia and Africa, today announced the successful completion of its agreement to divest its entire 50% shareholding in Acibadem Saglik Yatirimlari Holding A.S. and affiliated companies ("Acibadem") to Integrated Healthcare Holdings Sdn.Bhd ("Integrated Healthcare") and Khazanah Nasional Bhd ("Khazanah").

Under the terms of the agreement, Integrated Healthcare and Khazanah have acquired a combined 75% shareholding in Acibadem from Abraaj Capital and the Aydinlar family through a combination of cash payment and the exchange of newly issued Integrated Healthcare shares.  With the conclusion of this transaction, Abraaj Capital emerges as a shareholder in Integrated Healthcare which will become one of the largest private healthcare providers in the world, with a broad footprint of assets in Malaysia, Singapore, India, Turkey and an operating presence in China, Brunei, Abu Dhabi, Central and Eastern Europe. 

Integrated Healthcare is currently owned 70% by Pulau Memutik Ventures Sdn. Bhd, a wholly owned subsidiary of Khazanah, and 30% by MBK Healthcare Partners Limited, a wholly owned subsidiary of Mitsui & Co ("Mitsui"). Abraaj Capital and Acibadem will be formally represented on the Board of Integrated Healthcare by Omar Lodhi, Chief Executive Officer of Abraaj Capital Asia, and Mehmet Ali Aydinlar, Chairman and Chief Executive Officer of Acibadem. Selcuk Yorgancioglu, Chief Executive Officer of Abraaj Capital Turkey, will continue to serve on the Board of Acibadem.

Abraaj Capital's investment in Acibadem through its Funds was predicated on a strong belief in the growth fundamentals of Turkey, the potential of the private healthcare industry, and Acibadem's broad network of operating hospitals, brand equity and experienced management team. Since the time of Abraaj Capital's investment, Acibadem has grown to become one of Turkey's largest private healthcare groups. The group's operational presence grew from 6 to 14 hospitals and bed capacity increased from 750 to over 1,850 in four years. As a result, the company's EBITDA more than doubled from 2007-2010 and 5,000 new jobs were created across Acibadem's hospitals, creating value for all stakeholders.

Speaking at the closing ceremony in Istanbul, Arif Naqvi, Founder and Group Chief Executive of Abraaj Capital said, "Abraaj Capital has been closely aligned with Acibadem in the vision of establishing a world class hospital management system in Turkey and, together, building the premium healthcare service provider in one of the fastest growing economies. Having successfully achieved this vision, we are confident that Acibadem is well positioned for growth in a dynamic sector and will continue to thrive under the active ownership of the Integrated Healthcare Group".

He added, "Our investment in Acibadem validates our thesis of investing in high growth regions and high impact sectors. We remain committed to our existing investments in Turkey and to capitalizing on the promising opportunities that lie ahead.  Equally, we are very excited about our partnership with Khazanah and Mitsui and look forward to a long lasting and rewarding collaboration".

Commenting on the transaction, Khazanah's Managing Director, Tan Sri Dato' Azman Hj Mokhtar said, "Khazanah is delighted to welcome Abraaj Capital as a shareholder in our key investee company, Integrated Healthcare Holdings. We greatly value the experience and expertise that Abraaj Capital brings and we look forward to growing Integrated Healthcare's franchise in Turkey and beyond".

Bank of America Merrill Lynch and Goldman Sachs International acted as joint financial advisors to Abraaj Capital and the Aydinlar family on the transaction. Freshfields Bruckhaus Deringer LLP acted as legal advisors to Abraaj Capital and the Aydinlar family.

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About Abraaj Capital
The Abraaj Capital group is a leading private equity manager investing in the rapidly growing economies of the Middle East, Turkey, Asia and Africa.  Since inception in 2002, it has raised over US$ 7 billion and distributed around US$ 3 billion to investors. Headquartered in Dubai, the Abraaj Capital group employs over 150 people and has a presence in Riyadh, Istanbul, Cairo, Singapore, Mumbai, Karachi, Beirut, Ramallah, Amman, Casablanca and Tunis. The group's flagship private equity business has helped accelerate and facilitate the growth of over 40 companies in 12 countries in the region, in attractive and fundamental sectors such as healthcare, education, energy, aviation and logistics.

The Abraaj Capital group manages eight Funds: four Private Equity Funds, Riyada Enterprise Development (a Fund dedicated to small and medium enterprises in the Middle East), Kantara (a Fund dedicated to small and midcap enterprises in North Africa), ASAS (an income-generating, real estate Fund) and a 2004 vintage real estate Fund. The Abraaj Capital group currently has over US$ 6 billion of assets under management. Funds managed by the Abraaj Capital group have holdings in over 35 companies in the region, which collectively employ in excess of 30,000 people, including Air Arabia, the region's leading low-cost carrier and Al Borg Laboratories, the Middle East's largest privately owned medical testing laboratory business.

In 2011, Abraaj Capital was ranked the largest private equity firm in emerging markets worldwide by Private Equity International. In addition, Abraaj Capital has won many regional and international awards, including the 'Middle Eastern Private Equity Firm of the Year' for six consecutive years, awarded by Private Equity International.

Abraaj Capital Limited, a member of the Abraaj Capital group is licensed by the Dubai Financial Services Authority (DFSA).

For further information, please contact:
Nicholas Nesson
ASDA'A Burson-Marsteller
Dubai, UAE
Tel: 971-4-4507600
Fax: 971-4-4358040
E-mail: n.nesson@asdaa.com

© Press Release 2012