Global Capital Management, the alternative asset management arm of Global Investment House (Global), announced acquiring 80% of Bıçakcılar Tıbbi Cihazlar a manufacturer of medical equipments in Turkey.
Bıçakcılar exports its products to more than 70 countries. Global Capital Management is managing five private equity funds, four real estate funds and seven hedge funds and is listed in the Middle East Investors Directory with the code OR25.
Their full press release follows
Global Capital Management LTD, the alternative asset management arm of Global Investment House (Global), announced today that the Global Buyout Fund has successfully acquired 80% of Bıçakcılar Tıbbi Cihazlar A.Ş. and its group of companies (Bıçakcılar), the leading manufacturer of medical equipment and disposables, and distributor of cardiovascular and neurosurgery products in Turkey.
The agreement was signed by Mr. Ferhat Bıçakcı representing the owners, Bıçakcı Family and Mr. Ihsan Sancay, Partner at Global Capital Management in Turkey representing the Global Buyout Fund.
Bıçakcılar enjoys dominant market position in most of its product lines. It is the largest manufacturer of I.V. cannula in the Middle East and Eastern Europe and is the second largest manufacturer of catheters in Europe. Bıçakcılar exports its products to more than 70 countries. Exports grew at a CAGR of 20.1% between 2005 and 2008, whereas the Turkish medical disposables grew at a CAGR of 13.0% during the same period. The products manufactured by Bıçakcılar include; infusion, transfusion, respiratory care, catheters, surgical suction, drainage, cardiovascular & custom pack products in disposables, and surgical lights, surgical tables, patient transportation systems and surgical suction devices in medical equipments. The Group's manufacturing practices are in compliance with Good-Manufacturing-Practices and Medical Device Directives of the European Union. The products of Bıçakcılar are certified by TUV NORD, and accordingly the products bear CE label.
On the imported and distributed products side, the Group is a significant distributor of global medical products brands such as St. Jude, Sorin Group, Medtronics, Serres and CryoLife.
The Turkish medical equipment & supplies market had an estimated size of around USD2.2billion in 2008. The market is considered as one of the fastest growth markets globally, with a CAGR of 20% between 2003 and 2008. The growth was influenced by increasing income levels, changes in social security system and new healthcare investments by the state and the private sector.
Mr. Ferhat Bıçakcı said, "We are very proud to be partners with the Global Buyout Fund represented by the fund manager, Global Capital Management, and happy with the constructive and professional attitude that they showed throughout the whole process. This partnership is a crucial step towards improving Bıçakcılar's corporate structure and realizing our plans for global competitiveness. Global Capital Management's support, and the trust they have in us will provide us with the means to expand further in the global arena and replicate our success in the Turkish market and international markets."
Mr. Rajiv Nakani, Managing Partner at Global Capital Management commented, "Bıçakcılar is one of the most important acquisitions in our portfolio. With its frontier market position, strong and trusted brand, multi-product and multi-channel strategy, and extensive distribution network across Turkey and worldwide, Bıçakcılar is ideally positioned to benefit from the rapidly growing healthcare market. Our strong belief in the investment potential and growth prospects of the Turkish market in general and the healthcare sector in particular has been successfully considered by the fund's investment in Bıçakcılar, which has been a major player in the Turkish healthcare market for 50 years."
Mr. Ihsan Sancay, stated, "We are committed to working together with the professional management team of Bıçakcılar and our partners in growing the business and investing in its future. Investing in Bıçakcılar is in line with our strategy to increase our funds' investments in Turkey, which is one of the largest markets in the Middle East and North Africa geography, and as such, one of the key destinations for private equity investments within the region. Our team's active investor role, diligent approach, Turkish investment experience and distinguished track record will play a major role in making Bicakcilar one of the success stories in the Global Buyout Fund portfolio."
The Global Buyout Fund was advised by Esin Law Firm (legal), Baker & McKenzie (legal), Bionest Partners (industry), PricewaterhouseCoopers (financial), Erdikler (tax) and ELC Group (environmental). On the other hand, the Sellers were advised by Pragma Corporate Finance and YKK (a member of DLA Piper International LLP).
It is worth mentioning that Global Capital Management is a leading alternative asset management firm in the MENA region managing five private equity funds, four real estate funds and seven hedge funds with an experienced team of more than 30 professionals based in Kuwait, Dubai, Cairo and Istanbul. Closed in March 2008, Global Buyout Fund aims to achieve capital appreciation with optimum returns, within controlled levels of risk, over the medium to long term by investing in growth capital in the GCC, Turkey, China and India.
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