Capitalia finances 42 Baltic companies with EIF guarantee

12.08.2019

mintosblog

In March of this year, Capitalia partnered with the European Investment Fund (EIF) to provide a guarantee instrument to support small businesses in Latvia, Lithuania and Estonia, for a total amount of EUR 10 million.

Since the launch of the programme, Capitalia has financed 42 companies with a guarantee from the EIF for the total amount of EUR 536,335. The average loan amount is EUR 13,000 and the average repayment term is 15 months. 

Here is a breakdown:

Latvia: EUR 261,700 | 20 companies

Lithuania: EUR 152,065 | 12 companies

Estonia: EUR 122,570 | 10 companies

Typically, borrowers are seeking out these loans to acquire new assets to further develop their business. Hence, this demonstrates how financing from Mintos investors with the help of EIF leads to the development and support of small business in the Baltic countries. 

Under the guarantee program, Capitalia has financed one of the biggest eco potato starch producers in the Baltics –  Ozoliņi ZL. A well-known Latvian movie making company Jura Podnieka Studija has also received financing to start shooting a new film project under the program. 

In Estonia and Lithuania financing has been received by a number of marketing and design companies such as MartPro and Stuffer. Other recipients of the EIF guarantee instrument include an installation provider of solar panels, wholesaler of medical products, specialised manufacturers and a number of consulting businesses. 

It is important to note that so far all of the companies financed with the EIF guarantee are servicing their loans according to the schedule. No clients have been late with their repayments by more than 30 days. 

For all loans with the EIF guarantee, the repayment of principal and up to three months of interest are ensured by the European Investment Fund. In addition, Capitalia has a high stake in each loan, with 20% skin in the game.