Turkey’s Frigo Pak becomes PE target | beyondbrics

With a growing population and booming economy to cater for, Turkey’s food industry is in excellent health. But it is also highly competitive and fragmented. Just 22 food and drink manufacturers are listed on the Istanbul stock exchange and there are relatively few well-established brands. The market is dominated by a large number of small and medium sized family run companies, buffeted by widely fluctuating margins.

So while international investors have been happy to invest in food retailing in Turkey, they have tended to leave manufacturing to the locals. Until now.

Frigo Pak, an Istanbul-listed family-owned fruit juice and soft drink maker, last week agreed to sell at 29 per cent stake to New York based private equity investor, Universe Capital Partners.

* username: rupertbu