Important Facts of the News
- EBRD provides €75 million sustainability-linked loan to Ülker
- Loan part of a €377 million multi-bank refinancing package
- Existing sustainability-linked loan from March 2023 being refinanced
- Ülker aims for net-zero emissions across entire value chain by 2050
- Emission calculations will now cover all production plants globally, including Egypt, Kazakhstan, and Saudi Arabia
- Previous EBRD support includes first sustainability-linked Eurobond in 2024
- Targets: Reduce Scope 1 and 2 emissions by 42% and Scope 3 emissions by 25% by 2030
- EBRD has committed over €22.7 billion in Türkiye across 502 projects since 2009
- Ülker, founded in 1944, produces biscuits, cakes, and chocolates
EBRD Boosts Sustainability Goals for Ülker
The European Bank for Reconstruction and Development (EBRD) is advancing its support for sustainability in Türkiye by extending a €75 million sustainability-linked loan to Ülker, a top confectionery manufacturer. This funding forms a segment of a broader €377 million financing arrangement, shared with multiple banks, aimed at refinancing the company’s previous sustainability-linked loan taken in March 2023.
Strengthening Green Practices Across Operations
Sustainability remains central to Ülker’s business strategy. The company has pledged to achieve net-zero emissions throughout its entire value chain by 2050. Efforts include adopting zero-waste operations, transitioning to net-zero carbon usage, and embracing circular production models. The EBRD loan will help Ülker set more ambitious sustainability objectives while extending emission measurement across all production facilities worldwide, including locations in Egypt, Kazakhstan, and Saudi Arabia.
Leadership Perspective on the Partnership
Mehmet Erdem Yasar, EBRD’s Deputy Head for Türkiye, expressed support for the collaboration, highlighting Ülker’s long-standing sustainability vision and growing commitment. Ülker CEO Özgür Kölükfakı emphasized that the partnership would enhance operational efficiency, competitiveness, and reinforce the company’s position as a sustainability leader in the confectionery sector. He also noted the firm’s ongoing dedication to creating environmental, social, and economic value across all markets.
Background on Ülker and EBRD Engagement
Founded in 1944, Ülker is one of Türkiye’s most recognized confectionery brands, producing a wide range of biscuits, cakes, and chocolates. The company has previously partnered with the EBRD through a sustainability-linked Eurobond issued in 2024, targeting a 42% reduction in Scope 1 and 2 greenhouse gas emissions and a 25% reduction in Scope 3 emissions by 2030.
Since 2009, the EBRD has invested more than €22.7 billion in Türkiye through 502 projects and trade finance facilities, focusing mainly on private sector development. This latest sustainability-linked loan further consolidates Ülker’s leadership in responsible and environmentally-conscious production.