IFC Invests in Türkiye’s Çağatay Pet Food to Boost Jobs and Triple Production

The International Finance Corporation (IFC) has announced an equity investment in Çağatay Evcil Hayvan Mamaları ve Yem Ürünleri San. ve Tic. A.Ş. (Çağatay Pet Food), Türkiye’s second-largest producer of dry pet food. The investment is aimed at expanding operations, strengthening its direct-to-consumer model, and creating jobs across the sector and supply chain.

The deal is part of a co-investment with Turkey Growth Fund IV, advised by leading private equity firm Turkven, and the European Bank for Reconstruction and Development (EBRD). Together, the partners will finance a state-of-the-art manufacturing facility that will triple production capacity, positioning Çağatay Pet Food for long-term growth in both domestic and international markets.

Scaling Up in a Growing Industry

Türkiye’s pet food market has seen strong and resilient growth in recent years, driven by rising rates of pet ownership and increasing demand for high-quality, affordable pet products. However, the industry has historically been underserved by equity capital, limiting expansion opportunities for producers.

By investing in Çağatay Pet Food, IFC and its partners aim to inject much-needed capital into a challenging macroeconomic environment, enabling the company to fully realize its growth potential.

“This investment marks a significant milestone for Türkiye’s pet food industry,” said Wiebke Schloemer, IFC Director for Türkiye and Central Asia. “By partnering with Turkven and the EBRD to invest in Çağatay Pet Food, IFC is helping to unlock new growth opportunities, create jobs, and elevate industry standards for quality and sustainability.”

Creating Jobs and Promoting Inclusion

The new facility is expected to generate over 1,000 direct and indirect jobs, not only within the company but also across the broader agricultural and logistics supply chain.

In addition to capital, IFC will provide advisory services to strengthen gender inclusion, with a focus on increasing women’s employment in the industry. The partnership will also promote sustainable practices throughout the value chain, including resource efficiency and environmentally responsible production.

Driving Competitiveness and E-Commerce Growth

Çağatay Pet Food has distinguished itself with a direct-to-consumer sales model that capitalizes on the rapid rise of e-commerce in Türkiye. The new investment will expand this platform, allowing the company to reach a wider customer base with its growing portfolio of high-quality pet food brands.

“We have been impressed with Çağatay Pet Food’s differentiated direct-to-consumer sales model, which is well positioned to benefit from e-commerce tailwinds, along with its strong manufacturing capabilities,” said Aksel Şahin, Partner at Turkven. “We look forward to supporting the company’s growth initiatives and delivering its products to a much broader audience.”

Strengthening Türkiye’s Economy

Beyond the pet food market, the investment is expected to add value to Türkiye’s economy by enhancing market competitiveness and supporting inclusive, sustainable growth. With IFC’s track record of financing transformative projects, this deal reinforces the organization’s role in providing capital where private investment remains limited.

As Türkiye’s pet care sector continues to expand, the IFC-EBRD-Turkven partnership in Çağatay Pet Food is poised to become a model for how public-private investment can catalyze innovation, job creation, and sustainability in emerging industries.