TIRYAKI AGRO GIDA SANAYI VE TICARET
Status: Approved investmentWhy disclosure?
FMO is committed to making publicly available relevant investment information that informs stakeholders and enables them to engage directly with FMO on its investments which, in turn, enhances our investment decisions, the design and implementation of projects and policies, and strengthens development outcomes. Learn more
In case of questions
In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Tiryaki Agro Gıda Sanayi ve Ticaret A.Ş. (“Tiryaki”) is an international processor and supply chain manager of agricultural commodities such as pulses, grains, nuts, organics, feed, and oilseeds. It was established in 1965 by Ali Tiryakioğlu as a lentil processing plant in Gaziantep, Turkey. Tiryaki now has storage and processing facilities across Turkey and well-diversified agri-trading and supply chain operations covering Middle East, Africa, CIS, and the Americas.
What is our funding objective?
In 2020, FMO arranged a long-term syndicated term facility of USD 82.5 million with participants from other international development institution(s). The funds were used to finance permanent working capital needs of Tiryaki’s agribusiness activities in primarily Turkey, Middle East, and Africa regions, where such long-term liquidity is not available in local market. Currently, FMO provides additional financing to Tiryaki of up to USD 20 million for financing its increasing working capital requirements in view of the growing business operations and increasing agri-commodity prices.
Why do we fund this investment?
Tiryaki is a longstanding client of FMO since 2012. FMO wishes to continue supporting its client by funding Tiryaki’s procurement, sourcing, and processing activities with respect to staple food products and various other food- and feed-components primarily in Turkey, Middle East, and Africa regions. As an integrated agribusiness supply chain manager, Tiryaki contributes towards food security, particularly in the Middle East and Africa. Moreover, Tiryaki provides employment to ca. 1,200 people, including rural provinces of Turkey.
What is the Environmental and Social categorization rationale?
The company has shown commitment to continuous improvements through the years working with FMO and has implemented E&S management systems in its processing facilities according to FMO ESG standards and international ISO requirements. E&S risks are categorized as Category B+ mainly due to supply chain risks and E&S management system requirements for new acquisitions – primary production and processing facilities in Turkey and abroad- which must be managed in a manner consistent with the following IFC performance standards: PS 1 Assessment and Management of Environmental and Social Risks, PS 2 Labor and working conditions, PS 3 Resource Efficiency and Pollution Prevention, PS 4 Community Health, Safety and Security and PS 6 Biodiversity Conservation and Sustainable Management of Living Natural Resources. PS 5 Land Acquisition and Involuntary Resettlement is not applicable to this transaction because client’s operations are established in industrial zones; areas assigned and approved by the local government. PS 7 Indigenous People and PS 8 Cultural Heritage do not apply because no local nor native communities have been identified close to the company’s operations.
More investments
| Date | Total FMO financing |
|---|---|
| 7/16/2021 | USD 62.50 MLN |
| 4/5/2022 | USD 30.00 MLN |
| 8/10/2022 | USD 44.00 MLN |
| 4/23/2018 | USD 46.50 MLN |
- Region
- Europe & Central Asia
- Country
- Türkiye
- Sector
- Agribusiness, Food & Water
- Publication date
- 6/23/2022
- Effective date
- 9/6/2022
- Total FMO financing
- USD 20.00 MLN
- Funding
- FMO NV
-
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - B+