- IFC is providing a €75 million loan to leading Türkiye snack food company
- Funds will strengthen two of Ülker Bisküvi's Türkiye-based factories and support a subsidiary in Kazakhstan
- Includes sustainability targets to support the company in achieving its ambitious climate adaptation and mitigation goals
Istanbul, Türkiye, April 16, 2024—IFC has announced an innovative €75 million investment, linked to sustainability targets, in Ülker Bisküvi, a leading Türkiye-based food company and snack producer, to boost its earthquake resilience and support climate mitigation and adaptation measures.
IFC's funding will enable Ülker Bisküvi, a subsidiary of pladis Foods Limited, to implement structural improvements at its factories in Istanbul and Kocaeli, both major earthquake-prone areas in Türkiye, to boost earthquake resilience and energy efficiency. The funds will also support an Ülker subsidiary in Kazakhstan, the Hamle factory, in improving its resource efficiency and safety standards.
In addition, IFC's financing incentivizes Ülker Bisküvi to achieve ambitious climate adaptation and mitigation targets. These include encouraging the company to reduce its greenhouse gas emissions, decrease water use, and enhance its waste recycling ratio. IFC will also support the company in improving its environmental and social policies and procedures.
"This agreement with IFC will play a critical role in achieving our company's sustainable growth goals," said Ülker Bisküvi CEO, Mete Buyurgan. "At Ülker Bisküvi, we prioritize sustainability principles and practices at the core of our business operations. This agreement will support our competitive growth by meeting our operational capital needs, allowing us to further invest in sustainability initiatives and expand our presence in international markets."
"Supporting sustainable economic growth and creating jobs is a priority for IFC in both Türkiye and Kazakhstan, especially in the aftermath of last year's devastating earthquakes," said Wiebke Schloemer, IFC Director for Türkiye and Central Asia. "This project will foster resilience to such shocks while also supporting a leading food manufacturer and exporter in reducing its carbon footprint and adapting to climate change."
As Türkiye continues to recover from the effects of last year's devastating natural disaster, the country needs substantial private and public funding for earthquake-resilient reconstruction and retrofitting. Modernizing the country's building stock is crucial to safeguard against future earthquakes, ensure economic value preservation, and—most importantly—protect lives.
IFC has supported private sector development in Türkiye for more than 50 years, with investments of nearly $20 billion in the last decade alone. Türkiye represents IFC's third-largest country exposure globally, with a committed portfolio of close to $5.2 billion as of March 2024.
About Ülker Bisküvi
Ülker Bisküvi, a subsidiary of pladis Foods Limited, with its roots dating back to 1944, is a leading food company in Türkiye, offering a wide range of products in categories such as biscuits, cakes, and chocolates. In addition to exporting to over 100 countries, the company has become Türkiye's leading food company with successful growth in its international operations.
After acquiring Hi Food in Egypt in 2016, IBC, FMC, UI Mena-Amir Global in Saudi Arabia in 2017, and Hamle in Kazakhstan, Ülker Bisküvi continued its expansion by acquiring Önem Gıda in 2021. The company currently operates in a total of 13 factories in Türkiye, Saudi Arabia, Kazakhstan, and Egypt.
With over 9,000 employees, Ülker Bisküvi contributes to the Turkish economy by adopting a "zero waste" model and placing sustainability at the core of its business operations at every stage.
About IFC
IFC — a member of the World Bank Group — is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2023, IFC committed a record $43.7 billion to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of global compounding crises. For more information, visit www.ifc.org
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