Luminor grants 1.35 million euros to Vides Tehnika SIA

  • 2023-04-05

Luminor Bank has provided financing of 1.35 million euros to the construction materials trader Vides Tehnika SIA. The loan is intended for increasing the company's working capital, factoring, leasing of vehicles, and covering a loan for real estate.

The company is one of the best-known wholesalers of thermal insulation materials in Latvia. Vides Tehnika SIA sells insulation and building materials and equipment related to building insulation.

"The last few years have brought many challenges for the construction industry and related companies: supply chain disruptions and rising inflation have created additional burdens. Thanks to professional corporate management, Vides Tehnika SIA has been able to diversify its income and maintain good financial performance. The company mainly offers ecological, environmentally friendly materials and uses sustainable solutions, which is appreciated in the long term," says Ilze Zoltnere, Head of Corporate Banking at Luminor.

Vides Tehnika SIA supplies most of its products from abroad. During the construction season, the company increases its stock levels to ensure the continuous availability of building materials to its customers: mainly a wide range of wood fibre insulation boards. The company also offers construction films, building materials, glues and adhesive tapes, heating systems, plumbing, and other products.

"Despite the challenging economic times, we have identified opportunities for the development of the company, which requires co-financing from the bank. We plan to renew our fleet of machinery and vehicles, increase the volume of goods to be able to meet demand, and offer our partners more favourable payment terms to increase sales. The additional working capital will help ensure a continuous flow of payments to suppliers, and the support of the bank will allow us to implement this," explains Didzis Eglītis, owner and CEO of Vides Tehnika SIA.

The company's assortment includes products from Knauf, Knauf Insulation, Steico, Rockwool, Paroc, Isover, FinnFoam, Bauroc, Siemens, Grundfos, Reflex, Buderus, Flamco Meibes, Tecofi, Daikin, Hitachi, and many other world-renowned manufacturers.

About Vides Tehnika SIA

Established in 2008, the company is one of the leading companies in the sector in Latvia. Vides Tehnika SIA offers sustainable and professional technical solutions, equipment for building insulation, as well as the highest quality materials from the world's leading manufacturers of thermal insulation materials. The company's product range includes many environmentally friendly and ecological insulation materials. Vides Tehnika SIA also undertakes high quality building insulation works throughout Latvia.

About Luminor

Luminor is the leading independent bank in the Baltics and the third-largest provider of financial services in our region. We serve the financial needs of individuals, families, and companies. Like our home markets of Estonia, Latvia, and Lithuania we are young, dynamic, and forward looking.