Paksoy is reporting that it advised EBRD on its acquisition of a majority stake in Turkey's Korozo Ambalaj producer of flexible packaging, made along with the Esas Holding venture capital firm and the Actera private equity investor.
According to an EBRD press release, "the new shareholders are moving to unlock the company’s growth potential and increase its competitiveness and integration in international markets."
Founded in Istanbul in 1973 by brothers Liya and Refael Duvenyaz, Korozo has grown to become the largest manufacturer of flexible packaging in Turkey. The company has nine plants across the country with a total capacity of 98,000 tonnes per year and is currently building a state-of-the-art facility in Corlu, in Tekirdag province, in the northern Marmara region, to expand production and boost exports. More than half of Korozo’s production is exported to 80 countries worldwide.
Jean Marc Peterschmitt, EBRD Managing Director for Industry, Commerce and Agribusiness, commented: “Korozo is a great example of an ambitious Turkish firm which has started as a family business and grown into a truly international player. We are proud to become shareholders and support the company in its next phase of development as it seeks to become one of Europe’s leading producers of flexible packaging. It is this spirit of entrepreneurship, fuelled by skills and ambition, that is the driving force of the Turkish economy.”
Jeki Mizrahi, CEO of Korozo, said: “This partnership is a big step forward that will accelerate Korozo’s growth and investments to achieve our vision of becoming a leading player in the European packaging industry. We will continue to contribute to the Turkish economy, drive market growth and add value for all our business partners.”
The EBRD’s equity investment comes with a USD 1 million loan provided by the Clean Technology Fund (CTF) to help Korozo minimize waste and become more environmentally friendly. It is part of the EBRD’s Near-Zero Waste program in Turkey which, with support from the CTF and the EU, finances investments aimed at minimizing waste and increasing resource efficiency in the industrial, agribusiness, and municipal sectors.
The Paksoy team acting as local counsel to the EBRD was led by Partner Elvan Aziz and included Senior Associate Nazli Bezirci and Associate Deniz Ozkan. The firm did not reply to our inquiry on the matter.
Editor's Note: After this article was published Paksoy announced that the sellers on the deal were the Duvenyaz family, Riva Salhon, and Rakel Nahmiyas. The firm also reported that Verdi (in Turkey) and Baker McKenzie (in Luxembourg) had advised Actera on the deal. Attempts to confirm with those two firms were unsuccessful.
In addition, the Akol Ozok Namli Attorney Partnership announced that it had acted for UNLU Menkul Degerler A.S. and the selling shareholders of Korozo throughout the sale to Actera.
