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Mitsui & Co. Associated Company Integrated Healthcare Holdings to Acquire Stake in Turkish Healthcare Group

Dec. 26, 2011


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Mitsui & Co., Ltd. ("Mitsui"; head office: Tokyo; President and CEO: Masami Iijima) has agreed to an acquisition of shares in the holding company for a Turkish private healthcare group ("Acibadem") by Integrated Healthcare Holdings Sdn. Bhd ("IHHSB," in which Mitsui holds a 30% stake through its subsidiary MBK Healthcare Partners Limited ("MBKHP")). IHHSB will acquire a 60% stake in Acibadem through a combination of cash payment and an exchange of newly-issued IHHSB shares with Acibadem shares. Due to the issuing of IHHSB's new shares, it is envisaged that MBKHP's shareholding in IHHSB will be diluted from 30% to 26.6%.

Acibadem is the leading Turkey's private healthcare group, running 14 hospitals (over 1,800 beds) and 8 medical centers. In addition to its hospital business, Acibadem will also operate healthcare-related businesses such as hospital food service, hospital planning and design.

Mitsui invested in IHHSB in May 2011 through MBKHP. In Asia, where an increase in healthcare demand is expected, Mitsui is working to expand its network of hospital business platform and healthcare-related business as well as to explore new business opportunities in the peripheral market with IHHSB. In addition to Singapore and Malaysia, Mitsui aims to expand its healthcare business through IHHSB in Asian countries such as China, and at the same time, to develop a business platform in the Middle East through its healthcare-related business in Turkey, where the rapid growth of healthcare demand is expected as a result of population growth, aging, economic growth and changes in lifestyle.

The above transaction is not expected to have any significant impact on Mitsui's consolidated performance for the fiscal year ending March 31, 2012.

1. Acibadem Shareholders and ownership

  Pre-Closing Post-Closing
Aydinlar family (founder's family) 50% 25%
Abraaj Capital(through SPC) 50% -
IHHSB (through SPC) - 60%
Khazanah National (through SPC) - 15%
Total 100% 100%

2. IHHSB Shareholders and ownership

  Pre-Closing Post-Closing (expectation)
MBKHP (Mitsui subsidiary) 30% 26.6%
Others 70% 73.4%
Total 100% 100%

3. Companies Outline

(1) MBKHP (Mitsui subsidiary)

Company name MBK Healthcare Partners Limited
Location United Kingdom
Main business Investment in IHHSB
Shareholders and ownership Mitsui 100%

(2) IHHSB

Company name Integrated Healthcare Holdings Sdn. Bhd
Location Malaysia
Main business Healthcare-related business throughout Asia, including hospital operation and contract management, operation of medical education institutions, and consigned clinical trials.
Shareholders and ownership See 2 above

(3) Acibadem

Company name Acibadem Saglik Yatirimlari Holding
Location Turkey
Main business Holding company operating (1) as major subsidiary. Acibadem will acquire (2) and (3) as wholly-owned subsidiaries, following this transaction.
(1) Acibadem Opco (Acibadem Saglik Hizmetleri ve Ticaret A.S.), listed (Market Cap: TL 2.39 billion as of Dec. 21 2011). Located in Turkey. Hospital business, clinical examinations, air ambulances, remote treatment etc.
(2) APlus (APlus Hastane Otelcilik Hizmetleri A.S.), non-listed. Located in Turkey. Hospital food service, facilities management etc.
(3) Proje (Acibadem Proje Yonetimi A.S.), non-listed. Located in Turkey. Planning and design of hospitals etc.
Shareholders and ownership See 1 above

(4) Khazanah National

Company name Khazanah National Bhd
Location Malaysia
Main business State-owned investment company with the aim of making strategic investments in new markets and new industries
Shareholders and ownership Ministry of Finance, Malaysia 100%
(1 share held by the Malaysian Federal Lands Commissioner)

(5) Abraaj Capital

Company name Abraaj Capital
Location UAE
Main business Emerging markets private equity manager

Notice:
This announcement contains forward-looking statements. These forward-looking statements are based on Mitsui's current assumptions, expectations and beliefs in light of the information currently available to it and involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors may cause Mitsui's actual results, financial position or cash flows to be materially different from any future results, financial position or cash flows expressed or implied by these forward-looking statements. These risks, uncertainties and other factors referred to above include, but are not limited to, those contained in Mitsui's latest Annual Securities Report and Quarterly Securities Report, and Mitsui undertakes no obligation to publicly update or revise any forward-looking statements.
This announcement is published in order to publicly announce specific facts stated above, and does not constitute a solicitation of investments or any similar act inside or outside of Japan, regarding the shares, bonds or other securities issued by us.

Information

For inquiries on this matter, please contact

Mitsui & Co., Ltd.
Corporate Communications Division
Noriko Okamoto
Telephone: +81-3-3285-6645
Facsimile: +81-3-3285-9819
Mitsui & Co., Ltd.
Investor Relations Division
Telephone: +81-3-3285-7910
Facsimile: +81-3-3285-9821
infoTKADZ@mitsui.com