Abu Dhabi: The Abraaj Group announced the final close of its first dedicated Turkey Fund at $486 million (Dh1.78 billion) with a further $40 million raised for co-investment, against a target of $500 million.
Abraaj Turkey Fund I (ATF I) received support from a diverse range of new and existing investors, with 70 per cent coming from European and North American investors.
Institutional investors and sovereign wealth funds accounted for 78 per cent of the committed capital, the company said in a statement on Tuesday.
It added that the fund targets well-managed, mid-sized businesses operating primarily in sectors such as consumer goods and services, health care, financial services, logistics and retail.
To date, ATF I has made two investments, in Hepsiburada, the market leader in the Turkish e-commerce industry and in Fibabanka A.S., a prominent bank in Turkey with a focus on commercial, corporate and SME customer segments.
“The successful closing of our first dedicated Turkey Fund reflects our strong conviction on the Turkish economy and the attractive investment opportunities available. Turkey is on track to become one of the 15 largest economies in the world by 2030, driven by a young population, a growing and aspirational middle class, and a vibrant entrepreneurial culture,” Arif Naqvi, founder and group chief executive of The Abraaj Group, said in a statement.
Abraaj has deployed more than $900 million across 11 investments in Turkey.
It manages its Turkey and Central Asia investments from Istanbul, one of five hubs in a network of offices in global growth markets, stretching from Latin America to South East Asia.