VCBank & Al Sraiya Holding Group announce a strategic partnership with Mado, Turkey’s leading Ice-Cream and Patisserie Café chain

7th December 2016

In the presence of Turkish Deputy Prime Minister, H.E. Veysi Kaynak, and H.E. M.Rifat Hisarciklioglu, President of the Union of Chambers and Commodity Exchanges of Turkey, Bahrain-based Venture Capital Bank (VCBank), alongside Qatar's Al Sraiya Holding Group (Al Sraiya) and other strategic investors, announced that they have entered into a joint partnership with Mado Yasar Dondurma (Mado), Turkey's largest patisserie and ice-cream café chain franchisor. The news was announced in Ankara at a signing ceremony held on Tuesday, December 6 2016, to celebrate the new partnership and its prospects for global growth. In attendance were board members and senior management of VCBank, Al Sraiya and Mado and members of the media.

Mado, which was established in 1962 as a single ice cream shop, today employs more than 1,150 staff across more than 310 stores in Turkey and more than 35 locations internationally including Bulgaria, Azerbaijan, Nakhchivan, Cyprus, Iraq, Saudi Arabia, Qatar, the UAE, Kuwait and Bahrain.

In addition to owning the brand's franchise rights, Mado produces, markets and sells a wide variety of self-branded food products such as ice creams, dairy desserts, sweet pastries, cakes, bakery goods and meals through two primary channels, namely its network of franchise stores and B2B channels.

Commenting on the acquisition Mr. Abdullatif Janahi, CEO of VCBank said, "We are delighted to announce our newest partnership, alongside Al Sraiya Holding Group and other strategic investors, with Mado. This marks VCBank's third major investment in Turkey, a market on which we will continue to focus due to its solid fundamentals and strong economic prospects. It is among the fastest growing in Europe and provides a strategic position and launch pad for global growth in particular for companies active in the country's F&B sector, on which we are bullish. The sector is defensive in nature and supported by favourable market dynamics both in Turkey and in neighbouring and global markets. This includes large and young populations in Turkey and other MENA markets as well as changing cultural habits that are spurring growth in the cafe and dining culture."

Mr. Janahi added: "Having looked extensively at numerous local F&B brands in Turkey, we selected Mado due to the high quality of its products, the strength of its brand as well the global nature of its business. For a number of years, Mado has delivered strong double-digit growth and we look forward to working closely with its highly seasoned management team to build on these foundations through further international expansion. In particular, we will look to strengthen Mado's presence in the GCC region, followed by other global markets, leveraging VCBank's broad base of shareholders, partners and networks including access to prominent food and beverage retailers, wholesalers, suppliers and manufacturers on which Mado can capitalize."

Mr. Rashid N. Al Kaabi, Vice Chairman of Al Sraiya, added, "In partnership with VCBank we are proud to announce this important transaction for our Group and our continued efforts to diversify our holdings into key growth markets and segments. Our partnership with Mado provides us with exposure to Turkey's growing economy and in particular its F&B sector, where we see great promise and room for upside potential internationally. With additional resources and support, we expect significant future enhancements and we look forward to working together with Mado to support their strategy for global growth and to ensuring the company meets its vast potential both in Turkey and beyond."

Mr. Mehmet Kanbur, Chairman of Mado Group, added, "We are pleased to announce this new strategic partnership, which underscores the strong franchise and brand that Mado has built and the ongoing growth prospects for Mado both in Turkey and in international markets. We have delivered strong results year-after-year and fully expect that with a stronger strategic partner and additional resources, we are now better positioned than ever to deliver further growth and enhanced results across existing and new channels and markets alike. Together with VCBank, we especially look forward to expanding our presence in the Middle East, including Saudi Arabia, its biggest market, where demand for the high quality products and dining experiences like those offered by Mado continues to grow. This is an exciting and important milestone for Mado and we look forward to building our brand globally and the value we deliver to our customers, employees and new partners."