Luminor bank has granted financing of 5 million euro to the forestry company SIA Timbro. The financing includes a credit line and a loan for the acquisition of logging rights and new forest lands, as well as leasing for the purchase of forestry machinery and vehicles for roundwood transportation.
SIA Timbro is actively expanding its operations, the number of suppliers and the volume of export transactions has grown rapidly, and over the past year the company’s revenue has grown five times to approximately 45 million euros.
"The forestry sector is one of the main industries of the Latvian economy, playing a significant role in regional development and exports. Timbro is a great example of how purposeful growth can go hand in hand with responsible management. With the allocated funding, we support the company's plans to expand its operations by investing in new forest lands and modern equipment, which will help to increase efficiency and competitiveness on a European scale," says Ilze Zoltnere, Head of the Corporate Department of Luminor bank.
Forests cover 3.45 million hectares, or 53 % of Latvia's territory, and their total area continues to grow each year. The company has already acquired forest lands with a total potential harvesting volume of up to 60,000 cubic metres and a market value of approximately 5 million euros. The Timbro team evaluates more than 130 properties and felling areas each month, using a self-developed valuation model that speeds up and optimizes acquisition decisions.
"We have experienced rapid growth over the past two years and attracting funding allows us to continue on this growth path. Our goal is to become one of the leading forestry companies in the Baltics. The funding will allow us to increase both the scale and efficiency of our logging operations. We highly value our cooperation partner who trusts our development vision and helps to implement it in practice," says Raimonds Cipe, CEO of SIA Timbro.
In August 2024, SIA Timbro cooperated with 10 suppliers, while by spring 2025 that number had grown to more than 100. The volume of export transactions is also growing – the company's client base includes not only companies in Latvia, but also in the Baltic countries and Scandinavia.
About SIA Timbro
SIA Timbro is an innovation-driven forestry technology company, founded in Cēsis, bringing together over 100 professionals with extensive experience in the forestry, technology and finance sectors in Latvia and abroad. The company's core activities include timber wholesale, logging and logistics, trade of forest and agricultural land, as well as rural property management. Timbro's activities are based on efficient use of resources, a sustainable approach and cooperation with the leading partner Merito Partners.
About Luminor
Luminor is the leading independent bank in the Baltic states and the third largest provider of financial services in the region. We provide financial services to individuals, families and enterprises. We are new, dynamic and forward-looking just like Estonian, Latvian and Lithuanian markets.
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