Global Funds Meet in London for Investment Opportunities in Turkey and Its Surrounding Region
Global Funds Meet in London for Investment Opportunities in Turkey and Its Surrounding Region
Globalturk Capital's "Private Equity Investment Outlook for Turkey and Its Surroundings - London" conference was held in London in collaboration with the London Stock Exchange. The event was supported by the valuable contributions of the Presidency Investment Office and the Global Private Capital Association (GPCA), which manages $2 trillion in assets worldwide, and featured high-level representatives from private equity funds.
The conference, titled "Private Equity Investment Outlook for Turkey and Its Surroundings - London," was organized by Globalturk Capital to provide high-level solutions to entrepreneurs in emerging markets, especially Turkey, and global private equity funds, offering support in mergers, acquisitions, and strategic business development for investments and growth. It was held in London in collaboration with the London Stock Exchange, with the strategic support of the Presidency Investment Office and GPCA. Private equity fund representatives attended this special event.
The conference, which included six diverse panels and sessions, covered a wide range of topics, including Turkey's attractiveness in terms of private equity, cross-border investments in and around Turkey, and exits from private equity via IPOs on Borsa Istanbul and the London Stock Exchange. The journeys of Turkey's large growing brands abroad were shared. The conference also focused on investment prospects for 2025 and beyond in Turkey and its surrounding regions and attracted attention through both panel discussions and individual speakers.
UK Trade Ambassador to Turkey, Afzal Khan, highlighted trade and investment opportunities between Turkey and the UK during the opening speech. He noted that trade volume between the two countries had reached record levels over the past five years and there had been a significant increase in mutual direct investments.
Special Presentation on "Exit Opportunities for Private Equity at the London Stock Exchange"
During the opening, Charlie Walker, Deputy CEO of the London Stock Exchange (LSE), and Tom Attenborough, Head of International Listings and Business Development at LSE, made a special presentation on "Exit Opportunities for Private Equity at the London Stock Exchange."
"We aim to strengthen Turkey's position as a global connection hub"
Ahmet Burak Dağlıoğlu, Head of the Presidency Investment Office, also delivered a speech titled "Why You Should Invest in Turkey and Turkey's International Direct Investment Strategy." He invited international fund managers to invest and said, "In 2024, while global investment decreased by 8% compared to the previous year, Turkey succeeded in attracting $11.3 billion in investments, with a 5.6% increase. This positive divergence is a strong indicator of investor confidence. The recovery in the mergers and acquisitions (M&A) market is another indicator of this confidence. In 2024, M&A transaction volume increased by 5% to $8.5 billion. Meanwhile, Turkey's dynamic technology ecosystem has become a focal point for investors. Early-stage technology investments reached $1.1 billion with 469 deals in 2024, showing remarkable performance. Our efforts to improve the investment environment continue resolutely. The Investment Advisory Council meeting we held in September under the leadership of our President is one of the most concrete indicators of our determination. We aim to strengthen Turkey's position as a global connection hub by continuing our structural reforms."
"Interest in Export-Oriented Industry and Technology Highlights Turkey's Potential"
Fatih Kacır, Minister of Industry and Technology, shared Turkey's progress in industry and technology and the country's goals, saying, "Turkey stands out as a strong, resilient, and future-oriented investment partner with its young, talented, and highly competitive workforce, incentives specifically designed to attract high-tech investments, and its strategic position opening to a market of one billion consumers. We highly value the trust of investors who recognize Turkey's potential, strength, and bright future. This trust reaffirms our determination to create a dynamic business environment that promotes innovation and sustainable growth. With this understanding, I would like to emphasize that we are ready to strengthen and expand our cooperation with our partners in the United Kingdom. We see great opportunities for collaboration in shaping the future of high-tech sectors, green transformation, and digital innovation."
"Trusting Private Equity Funds and the Business World in Turkey Will Be a Wise Strategy When Making Investment Decisions"
Barış Öney, Founding Partner and Managing Director of Globalturk Capital, GPCA Central and Eastern Europe Leadership Council Member, and Turkey Representative, highlighted in his speech at the conference that Turkey has always been an investable and exit-able market for private equity funds, emphasizing: "Turkey’s business world and private equity funds operating in Turkey have maintained their resilience against uncertain, turbulent, and unpredictable global and local conditions for years. Their experience in overcoming national and international crises makes Turkey a reliable reference point for investors. Turkey has over 1.2 million registered companies under TOBB, and this vast ecosystem presents significant opportunities for private equity funds. Over the past 20 years, Turkey has attracted more than $260 billion in foreign direct investment, including private equity funds, while Turkish companies have invested over $70 billion abroad. In the first 10 months of 2024, direct investments abroad surpassed $5.4 billion, showing a 17% increase compared to the same period last year. This two-way capital flow creates significant investment and exit opportunities for global private equity funds. Export-oriented industries, technology, consumer products, healthcare, and green energy sectors continue to be prominent areas for investors. Borsa Istanbul raised a total of $8.8 billion through 184 IPOs between 2021-2024, most of which came from local investors, providing private equity funds with significant exit opportunities. We predict that international institutional investors will show increasing interest in IPOs in the second half of this year. In this period of changing private equity flows, considering the declining investment attractiveness of China, the unpredictability of the US, and the unprecedented uncertainties in Europe, Turkey and its surrounding regions offer an attractive investment alternative with their strong and resilient business world. However, to sustain this potential, strengthening the capital-friendly investment environment and ensuring the stability of macro balances and the rule of law are of critical importance. Turkey is known for being the second-largest military power within NATO. In such a global environment, trusting private equity funds and the business world operating in Turkey will be a wise strategy when making investment decisions."
Over $15 Billion in International Direct Investment from the UK to Turkey (2002-2024)
The conference concluded with a speech by Vice President Cevdet Yılmaz on "Turkey's 2025 Outlook and Macro Strategy and Policies." In his speech, Vice President Yılmaz stated that Turkey has been resolutely implementing policies and measures to support growth, and said, "We expect annual economic growth in 2024 to be close to our target of 3.5%. We also expect national income to reach $1.3 trillion in 2024, with per capita income surpassing $15,000. Annual inflation decreased by 33 percentage points to 42% by January 2025. Services are the main contributor to inflation. Therefore, we will focus more on the services sector in our program."
Yılmaz also noted, "We have seen a significant improvement in the current account deficit, which fell to below 1% of GDP in 2023. We aim for economic growth to reach 4% this year. The 2025 year-end inflation is forecasted to be 24% annually." He further stated that Turkey's export-driven growth strategy would strengthen and that the current account deficit would be 2% of GDP by 2025. "This year, we expect a budget deficit of 3.1% of GDP, improving by 1.7 percentage points from 2024. We expect it to fall below 3% next year. At the end of 2025, spending due to earthquakes will largely be eliminated," he added.
Intense Interest in Roundtable with Vice President Cevdet Yılmaz
After the conference, private meetings were held with Vice President Cevdet Yılmaz, and 35 global fund and investment bank managers attended a roundtable meeting with him. The roundtable attracted great attention, and the Vice President engaged with key representatives.
"International Investors Are Very Pleased to Have the Opportunity to Participate in the London Event"
Following the event, Barış Öney noted that the interest shown in the October conference in Istanbul, where global and regional private equity funds and international investors came together, continued at the London event. Öney said: "We held the Istanbul conference with over 450 senior participants, including 45 panelists and speakers from many countries around the world. At our London event, 32 investor panelists and speakers, including global fund managers and business representatives, participated. Especially international investors who could not attend the Istanbul meeting were very pleased to have the opportunity to be part of the London event. We hosted over 200 senior executives representing the world's leading private equity funds and business world. I would like to thank all the institutions and organizations, including the London Stock Exchange, the Presidency Investment Office, and GPCA, for their contributions and support."
About the Conferences and Events
Since 2015, Globalturk Capital has been organizing a series of well-established conferences and events on "Private Equity" in Turkey and its surrounding regions. These events bring together investors, business world representatives, and government officials from around the world, allowing for the evaluation of new investment opportunities and the exchange of views from different perspectives. These events, held so far in Istanbul, London, New York, and Washington DC, have provided an opportunity for private equity to turn its focus toward Turkey and the region, contributing to the raising of funds and the realization of investments and exits.
Sources: Haberin Nabzı, İhlas Haber Ajansı