The European Bank for Reconstruction and Development (EBRD) has decided to invest in Turkish pet food producer Çağatay Pet Food, becoming a minority shareholder in the company. The business aims to use the new partnership to boost its growth.
"Çağatay manufactures high-quality dry pet food under its own brands and competes with global brands on the Turkish and export markets,” the EBRD said in a statement. "The company has a strong direct-to-consumer e-commerce platform and a notable export footprint in 55 countries. The bank is joined by Turkven, a private equity firm, and the International Finance Corporation (IFC)."
Under the plan, the new shareholders will support Çağatay Pet Food in advancing the company's further growth and enhancing its competitiveness in the pet food industry "by expanding production capacity with a new facility and upgrading technological infrastructure," said the statement.
"We are proud to support Çağatay's growth and partner with Turkven and IFC in this important investment," said Wojtek Boniaszczuk, the head of transactions in the EBRD's Food and Agribusiness team. "Together, we aim to play a meaningful role in the company's journey towards becoming a stronger and more competitive player in the sector."
The value of the bank's investment in the Turkish pet food company was not disclosed in the statement.
Set up in 1982 by local businessman Oktay Çağatay, the business says it has an annual production capacity of about 45,000 tons per year, offering dry and wet pet food to its customers in Türkiye and abroad. The company sells cat and dog food under a number of brands, including LaMito, LaMitomix, Kucho and Kennel, among others.
"In early 1999, the company took the decision of initiating pet food production," said Çağatay Pet Food. "After about two years of intensive and detailed work, the company started the production of cat and dog food in 2001."
Çağatay Pet Food is headquartered in Izmir, in the country's western part. The company's facilities are fitted with a total surface of around 16,000 square meters (172,200 square feet), according to figures released by Çağatay Pet Food.
The EBRD is based in London and is owned by a group of 77 governments as well as the European Union and the European Investment Bank.
Italian manufacturer invests in Serbian production
Italy's Farmina Pet Foods has unveiled plans to ramp up its manufacturing activities at the plant in Inđija, in Serbia's northern part. The business aims to inject some €20 million (US$23 million) in the production facility.
The company has produced pet food in Serbia since 2010 and announced its investment plan in the market with relation to the recent visit by Serbian Agriculture Minister Dragan Glamočić to its facilities.
Speaking in Inđija, Glamočić said Farmina Pet Foods sells its output to more than 40 countries across the world and forecasts a 15% increase in exports in 2025, reported local news site Serbian-Monitor.com. The Italian business sells more than 97% of its output in various foreign markets, including a number of European markets as well as the U.S., Canada, Brazil, Chile and Japan, and more.
"Here we see an example of how Serbian expertise, hard work and responsibility can combine with modern technology to produce results measured in millions of euros of exports," Glamočić said. "Serbian quality is becoming an internationally recognized brand."
Farmina Pet Foods focuses on making pet food and pet care products for dogs and cats. The company's Serbian subsidiary is operated by a workforce of more than 400 employees.
