Turkish food giant plans $50M expansion to double production
Turkish agribusiness company Armada Foods' organic production facility in Mersin, Türkiye. (Photo via armadafoods.com)
Turkish agribusiness giant Armada Foods launched a $50 million investment across three facilities to double its production capacity, which currently serves more than 90 countries.
Speaking to Anadolu Agency, Armada Foods Chairman of the Board of Directors Fethi Kalipci Sonmez highlighted the company’s evolution since its establishment as a family business in 1993.
Operating in the food processing industry, Armada has solidified its strong position, particularly in the European market, with significant investments in organic food production.
“Our three facilities are currently under investment. The total plan exceeds $50 million, of which over $20 million—around 30%—has already been completed. The facility, which is being completed in phases, will see its first stage become operational within 1-2 months,” Sonmez said.
He also discussed investments in solar energy projects in Sanliurfa and Hatay, which boast a combined capacity of 28.8 megawatts and are set to become operational within six to seven months, with plans to further expand capacity.
Revenue from public offerings to drive food investments
Sonmez explained that Armada Foods is going public on Borsa Istanbul between Dec. 25 and Dec. 27, explaining that 50% of the proceeds from the offering will be allocated to new investments, while the remaining 50% will strengthen the company’s net working capital.
A total of ₺45.83 million ($1.30 million) nominal shares will be offered, aiming for a valuation of approximately ₺1.83 billion. Should an additional ₺9.17 million nominal shares be sold through supplementary offerings, the total nominal value of shares offered will rise to ₺54.99 million, increasing the public offering’s size to around $2.2 billion. Post-offering, including supplementary sales, the public float rate is expected to reach 20.83%.
‘Our next goal is to become a global leader’
Sonmez emphasized the company’s strong presence in Europe, North Africa, and the Middle East, describing Armada Foods as a key regional player with a vision to become a global leader.
As part of their global expansion efforts, Sonmez highlighted a $4 million investment in Kazakhstan, where Armada Foods has been operating for two years. The company plans to establish an agricultural product processing facility as a significant step in its global growth strategy, Sonmez noted.
