TPG Capital and CVC Capital Partners Ltd. are competing to acquire as much as 70 percent of Turkish hospital chain Medical Park Saglik Hizmetleri AS, partly owned by Carlyle Group LP (CG:US), people with knowledge of the matter said.
The buyout firms are bidding for all of Carlyle’s 40 percent stake in the Istanbul-based company and some or all of the 30 percent stake owned by Turkey’s Sancak family, said the people, who declined to be identified as the process isn’t public. The sellers may choose a buyer by the end of this year or early next, two of the people said.
Carlyle, the world’s second-largest private equity firm, and its partners hired Credit Suisse Group AG (CSGN) and Goldman Sachs Group Inc. (GS:US) to advise on the sale of Medical Park the Turkish company said Sept. 3. The divestment may come as a block sale, an initial public offering or a mixture of the two, it said. One of the people said the sellers may opt for a block sale.
A spokesman at TPG, a Medical Park official and Haydar Sancak, who represents the Sancak family on the company’s board, declined to comment. Spokesmen at CVC and Carlyle couldn’t be immediately reached for comment.
Medical Park, which owns 16 hospitals and employs 10,000 people in Turkey, announced a plan on Aug. 16 to invest $300 million in four hospitals of the Liv Hospital Group in Istanbul, Ankara and Izmir over three years. The first of the hospitals will be opened at the end of this year, it said.
Carlyle, which has more than $156 billion in assets under management, bought 40 percent of Medical Park in 2009 for $150 million. Turkish businessman Muharrem Usta, chairman of the company, and Sancak AS of Turkey each hold a 30 percent stake.
TPG, based in Fort Worth, Texas, sold Mey Icki Sanayi, Turkey’s biggest alcoholic beverages producer, to Diageo Plc (DGE), the London-based distiller, for $2.1 billion last year in the biggest private equity exit in Turkey.
Carlyle bought a 30 percent stake in Penti Corap Sanayi & Ticaret AS, a Turkish hosiery maker, the companies said Sept. 19. Carlyle also bought 48 percent of the Istanbul-based education group Bahcesehir Kolejleri for an undisclosed price, it said in January. It also acquired 50 percent of TVK Gemi Yapim Sanayii AS, a Turkish shipbuilder, in 2008.
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