By Staff writer
Abraaj says it plans to expand production capabilities of Yu-Ce Medical following stake deal
Dubai-based Abraaj Group has announced the acquisition, through one of its funds, of a stake in Yü-Ce Tibbi Gereçler Ithalat Ihracat Mümessillik Sanayi ve Ticaret, a disposable medical supplies manufacturer in Turkey.
Yu-Ce Medical marks Abraaj’s second investment from its Anatolia Growth Capital Fund.
Abraaj, in partnership with the Balçik family, said it will focus on increasing the production capacity, expanding the existing sales and distribution network and further enhancing the company’s product offering in the disposable medical supplies sector.
Growth plans include the extension of the existing Sanliurfa factory, leading to the creation of additional employment opportunities in Sanliurfa, and an investment in new machinery to optimise overall production capacity.
Established by Cengiz Balçik and Yümnü Balçik in 1995, Yu-Ce Medical began its operations as a medical supplies importer and is today a leading medical gauze and medical sponge producer, and among the few domestic surgical suture producers in Turkey.
The company has two manufacturing factories and has a customer base of more than 230 state, university and private hospitals and over 190 medical distributors.
The Turkish disposable medical supplies market has experienced an 11 percent annual growth rate over the last five years, and now accounts for 22 percent of the overall medical equipment and supplies market in Turkey.
Levent Yesildag, director and head of Anatolia Growth Capital Fund at The Abraaj Group, said: “Our investment in Yu-Ce Medical is aligned with the Anatolia Growth Capital Fund’s strategy of seeking strong, growth-oriented and well-managed companies in the developing regions of Anatolia.
"We look forward to our partnership and intend to utilize our longstanding experience in the healthcare sector to jointly accelerate the growth of Yu-Ce Medical.”
Cengiz Balçik, general manager at Yu-Ce Medical, added: “Abraaj’s successful track record in Turkey and depth of global operating expertise will help us move into our next phase of growth, increase our production capabilities and sales network, and strengthen our market position in the country.”
In January, Abraaj made Anatolia Growth Capital Fund’s inaugural investment in Kayseri-based BRN Sleep Products, a Turkish mattress and sleep products manufacturer, exporter and retailer.
The Abraaj Group has extensive healthcare investing experience, having deployed over $900 million across 28 healthcare investments in global growth markets.
Abraaj has been investing in Turkey since 2007, and its diversified portfolio includes leading e-commerce business Hepsiburada and dairy manufacturer Yörsan Group.For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.