Valmet Automotive strengthens significantly its financial resources

Valmet Automotive strengthens its working capital financing with a EUR 100 million loan granted by Finnvera, a specialized financing company owned by the State of Finland, and guaranteed by the European Investment Bank's Pan-European Guarantee Fund. The credit demonstrates the financial sector’s confidence in Valmet Automotive's business strategy and growth, and it supports the company's development plans and green transition.

At Valmet Automotive, the need for short-term working capital financing is partly related to the pandemic and its impact on supply chains and production. With a credit period of 4 years, the financing will also support the company's strategic policies, such as product changes and especially the expansion of operations to meet the needs of e-mobility.

In Valmet Automotive's strategy, all business lines emphasize sustainability and electrification of mobility. Besides the historic change in the automotive industry, the electrification trend is now opening opportunities also in other industrial sectors. Valmet Automotive estimates that EV Systems will become its leading business line in terms of turnover in a few years.

• The development of Valmet Automotive's operations and the strengthening of our position in the current, highly dynamic business environment require strong working capital financing. The loan granted by Finnvera is an important contribution to us, says Juha Torniainen, CFO, Valmet Automotive.

Finnvera is granting working capital and investment loans under the EGF guarantee program.  The guarantee scheme is intended for medium-sized and large companies that go beyond the EU definition of an SME.

www.valmet-automotive.com  

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