Luminor Bank has granted financing in the amount of 0.845 million euros to the Iļģuciema kvass and other beverage production company SIA Ilgezeem. The loan is intended for the renovation of production technological equipment and the reconstruction of the malt wort room in order to make production more efficient.

SIA Ilgezeem is one of the largest producers of kvass and malt beverages in Latvia, providing its products mainly to the local market, but also exporting beverages to several European countries. Among the company’s best-known products are the popular Iļģuciema kvass (Iļģuciems Kvass), Veselības dzēriens (Health Drink) and Iļģuciema medalus (Iļģuciems Mead), as well as other soft drinks and alcoholic beverages. In order to make the production process more efficient, the company, with the support of Luminor Bank and European Union funds, has started the replacement of used equipment and the reconstruction of production premises.

Of the funding provided by Luminor Bank, EUR 0.719 million is earmarked for the purchase of various technological equipment, such as a kvass wort boiling station, steam sterilizers, and a packaging line. The malt wort room will be reconstructed for more than 125 thousand euros.

Ilgezeem is a historic beverage factory that dates back more than 150 years. It is a pleasure that even today there are enterprising people in this factory, who both continue the old traditions and introduce new, interesting products, which are popular with both locals and foreigners. We are pleased to cooperate and provide support for the development of the company’s production and the purchase of new equipment,” says Ilze Zoltnere, Head of the Corporate Department at Luminor in Latvia.

“In 1997, the Iļģuciems beverage factory managed to resume the production of kvass, the next step was the Health Drink, and in 2012 – mead, with which we returned the factory to the beer industry. In 2017, we started brewing classic beer in small quantities. And now, thanks to our cooperation with Luminor and also thanks to consumers who buy our drinks and are loyal to the brand, we have received a loan that will allow the legendary factory to return to classic beer production in full swing. At the same time, we will continue to create interesting soft drinks, such as the new Baltais kvass (White Kvass),” says Rihards Jablokovs, Head of Marketing and Sales at SIA Ilgezeem.

About Luminor
Luminor is the third-largest provider of financial services in the Baltics, with some 900 000 clients, 2500 employees, and a market share of 15.6% in deposits and 17.6% in lending as at the end of June 2020. Luminor has total shareholders’ equity of 1.6 billion EUR and it is capitalised with a CET1 ratio of 22.0%. 
About SIA Ilgezeem
Ilgezeem brewery was built in 1863, when various beers and malt extract were produced there. In 1997, the factory was acquired by SIA Ilgezeem and modernization of production was started.
In 2019, Ilgezeem was the leading seller of natural kvass in Latvia, providing 47% of the local sales, while sales of non-alcoholic malt beverages reached 52% of the local market. Last year, Ilgezeem’s turnover increased to 4.93 million euros, with 82.09% coming from the Latvian market.