The European Investment Bank (EIB) has approved a 10 mln euros long-term quasi equity facility for Latvian high-tech company HansaMatrix, the company said in a statement to Nasdaq Riga.
The company’s representatives informed that the financing has been granted in order to support the investments planned by HansaMatrix in 2018-2020, which are worth 20 mln euros in total.
“The company is currently in negotiations with the European Investment Bank and a final agreement is subject to approvals being obtained by both parties as well as successful legal due diligence and financial negotiations,” HansaMatrix said.
According to the company’s representatives, the planned investment will support the company in its ongoing growth strategy, based on the expansion of its manufacturing capacities, as well as activities in research, development and innovation to optimize and complement the current range of service offerings. All investments will be located in Latvia, at the company’s existing sites near Riga, Ogre and Ventspils.
The EIB funding would mainly be dedicated to the co-financing of product R&D activities as well as the development of IT systems, robotics application capabilities in manufacturing, and an increase of the manufacturing capacity in the company’s Ogre and Ventspils manufacturing facilities, all contributing to growing the business.
The investment program includes investment in R&D and manufacturing equipment for further development and commercialization of volumetric 3D image technology owned by AS HansaMatrix’ associated company SIA Lightspace technologies.
To implement the project, the EIB financing is to be complemented with HansaMatrix own capital, commercial bank lending and EU fund grants.
As reported, HansaMatrix Group turned over 11.085 mln euros in the first half of 2018, up 18.7% against the respective period a year ago, while the group’s profit rose 36.9% to 904,562 euros.
HansaMatrix shares are quoted on the Main List of the Nasdaq Riga stock exchange.
