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The EIB has signed a EUR 10 million financing agreement with AS HansaMatrix of Latvia, to expand its manufacturing capacity and build a more all-round business model. The facility is made possible by the European Fund for Strategic Investments (EFSI), the core of the Investment Plan for Europe, and was supported in the initial stages by Latvian investment agency ALTUM.
The financing will support HansaMatrix’ ongoing growth strategy and the ongoing shift from manufacturing towards offering a full range of services, including value added design, engineering and aftermarket services. The financing will also help the company boost its research and development activities, as well as advance its “LightSpace Technologies” 3D-image display technology. All investments will be located in Latvia, at the company's existing sites near Riga, Pārogre and Ventspils.
“Today is a great day as we’re financing the first private sector project in Latvia with the support of the Juncker Plan, which I also think is a great signal about - and towards - the market. For the Bank, innovation has been a top priority for some time now, and it’s great to see yet another example of cutting-edge technology business coming from a Baltic country,” said EIB’s Vice President Alexander Stubb.
"I'm pleased to see that the financing under the Juncker Plan is going now also to the private companies of the manufacturing sector. I hope that more Latvian companies follow the same example soon, as the Juncker Plan represents an opportunity for businesses to get access to much needed finance, launch new products and expand beyond their local markets," commented European Commission Vice-President Valdis Dombrovskis.
“Our long voyage with the EIB team reaches completion today with this excellent event – the signing of a financing agreement. We are proud to be recognized by the EIB for being innovative and worthwhile to invest in. The results that made this possible are due to the motivated work of the whole HansaMatrix team, with a contribution from every team member. And I wish today to say thank you to every single HansaMatrix employee,” HansaMatrix CEO Ilmars Osmanis added.
Latvia currently ranks sixth in the EU in terms of investments triggered by the EFSI relative to GDP, with already a number of deals signed with financial intermediaries or public bodies. This investment is the first EFSI financing to a corporate company in the country.
The investment project is expected to contribute to the further development of Latvian industrial sector and the creation of skilled jobs. As the EIB financing can only cover up to 50% of any project, the funding is to be complemented with AS HansaMatrix own capital, commercial bank lending and EU funds grants.