Turkey Wealth Fund raises $150m from insurance unit stake sale

State-backed Turkey Wealth Fund (TWF) has raised almost $150 million (6.75 billion lira) by selling a 5 percent stake in its insurance subsidiary, Türkiye Sigorta, to international institutional investors.

The sale was completed through an accelerated bookbuilding process, the sovereign fund said in a statement.

Following the deal, the insurer’s market capitalisation reached $3.2 billion.

TWF initially planned to sell shares with a nominal value of 450 million lira, but increased the offering size by 50 million lira after strong investor demand.

The transaction is aimed at deepening the country’s capital markets, the statement said.

TWF’s ownership in Türkiye Sigorta declined to 76.1 percent following the stake sale. Free-float on the Istanbul Bourse increased to 23.9 percent.

Founded in 2020, Türkiye Sigorta – the country’s largest non-life insurer – posted a net profit of 19.4 billion lira in 2025, with gross premium earned reaching 147 billion lira.

In August TWF secured $600 million through a sharia-compliant facility from a banking group led by Kuwait Finance House to support market development.

The wealth fund manages assets worth 12.7 trillion lira, up 36 percent year on year, according to its 2024 report. Total equity rose 39 percent year on year to 2 trillion lira.

The fund holds a 49 percent stake in Turkish Airlines, 100 percent of Ziraat Bankasi, 80.6 percent of Borsa Istanbul and 100 percent of Turksat, a communications satellite company, the report said.

• Turkey makes ambitious pitch for Gulf business
• Turkey back on carry-trade radar
• UAE banks back Turkey Wealth Fund’s $1.2bn loan