news - FMO supports expansion of dried fruit producer Peyman in Turkey

A leading Turkish producer of dried fruit, seeds and nuts, Peyman Kuruyemiş, is set to expand its business with a €32 million loan from FMO and the EBRD.

The company, owned by British private equity fund Bridgepoint, is building a new production facility in the industrial zone of Eskişehir, a city in north-western Turkey. EBRD arranged the loan, with €10 million syndicated to FMO, the Dutch development bank.

The new 59,000 m²plant will become operational in the first half of 2018 and by 2023 it will have doubled the company’s production capacity to 45,000 tonnes. The plant’s modern layout and state-of-the-art equipment will help increase efficiency and save costs, freeing up resources for new products such as snack bars and chips.

The new facility will apply high standards and the best available techniques, enabling Peyman to increase exports to the European Union. Building on Bridgepoint’s network and experience in the global food industry, the company aims to increase its presence in international markets.

The loan will also finance Peyman’s day-to-day operations such as buying fruit, seeds and nuts from local farmers, storing, processing, drying and packaging the produce.

As part of a new supplier-development programme, Peyman will start buying part of its raw materials directly from farmers. This will enable the company to secure sustainable, higher-quality products from local markets.

Working closely with farmers, Peyman is committed to supporting their livelihoods. In cooperation with Turkish universities and vocational schools, the company is planning to train 300 farmers, including women. The training programme will include growing techniques, sustainable agriculture principles and systems to determine the origin of produce. The programme will be certified by the Turkish ministries of Agriculture and National Education.

Tuncer Akgün, Chairman of the Board of Directors at Peyman, commented: “The EBRD’s financing is an indicator of faith in Turkey, our industry and in Peyman. The loan will help us sustain our continuous growth and strengthen our position as we work to become a global Turkish brand.”

Oğuz Yükselir, Peyman CEO, added: “We trust that this financing will open new doors for Peyman while contributing substantially to our company, the Turkish agribusiness and the national economy.”

Peyman serves its Turkish consumers through an extensive sales network ranging from national supermarket chains to small convenience shops bakkals. The company also exports to more than 40 countries, including the USA, Russia, the Middle East, China and Australia.

The company was established in 1995 by the three Turkish families Mutlular, Kurtuluş and Güneş. In 2016, Bridgepoint acquired Peyman from its founders and Sabanci Holding’s venture capital arm Esas.