Kayalar Kimya has been acquired by Bancroft Group

March 2010 — A substantial stake in Kayalar Kimya, a leader in the Turkish industrial furniture paint and varnish market, has been sold to Bancroft Group, a mid-market regional private equity fund.

Founded in 1976, Kayalar Kimya is engaged in manufacturing furniture paints, varnishes and thinners. The company has production plants in Turkey and Spain. Kayalar Kimya is one of Europe’s largest paint and varnish manufacturers. The firm has a market share of 23% in Turkey, a range of 500 products and more than 4,000 domestic and international customers.

Founded in 1989 and based in Vienna, Austria, Bancroft Group is a private equity firm aiming to obtain controlling ownership position in mature companies headquartered in Central and South Eastern Europe. It targets companies in the telephone, cable television, media, heavy industry, cable harnesses, trucking, auto parts, financial services, postal services, paints, ceramic tiles, food processing and distribution sectors. Bancroft holds its portfolio companies for 3–5 years. The firm is currently (September 2018) seeking investment opportunities for Bancroft 3. The fund was launched in April 2008 with a US$275 million target. It will focus on investments in mid-size companies with enterprise value between US$55–165 million across CEE, Greece and Turkey. It intends to make two to three investments per year, seeking controlling stakes for US$22–38 million equity investments.

Our role in the transaction

Oaklins’ team in Turkey acted as financial and strategic advisor to Kayalar Kimya and its selling shareholders in this transaction.