On 29th July, 2016 an agreement was signed with Nordea, SEB banka and Swedbank regarding extending the syndicate loan for current asset funding in an amount exceeding 63 million USD and, with OP Corporate Bank joining in, the total loan was increased by 15 million USD, reaching 78 million USD.
Svens Dinsdorfs, Director of ELKO Group: “ELKO Group is continuing its growth by strengthening its positons in the existing markets, researching entering new markets and developing new lines of business, thus increasing the importance of ELKO in the supply chain. The availability of large-scale financial resources is crucial for the wholesale business. We highly estimate the faith of partners by continuing cooperation as well as by having a new cooperation partner joining in. We are focused on long-term cooperation in all areas, and such has been proven by ensuring excellent results.”
The loan transaction includes Nordea bank as the largest financier by granting 30.5 million USD, as well as SEB banka – 25 million, OP Corporate Bank – 15 million and Swedbank – 7.5 million USD.
Jānis Buks, Head of Nordea bank in Latvia: “ELKO Group is a stable and important cooperation partner of Nordea bank that has not only already proven itself as a local and regional market leader, but is also continuing to enter new markets and develop new lines of business. I am delighted that our cooperation is strengthened year after year by reaching an ever increasing amount.”
Ints Krasts, Board Member of SEB banka: “By developing a smart business strategy and skilfully managing the risks, ELKO Group has become a leader in its area in the entire Central and Eastern European region. Prolonged cooperation of SEB banka and ELKO Group both during times of business challenges and growth has formed a stable foundation for mutual trust. As professionals in the field of finance, we are delighted that we can take further steps to achieve the business goals together with the company.”
Elmārs Prikšāns, Head of OP Corporate Bank plc branch in Latvia, admits: “We are happy to start cooperation with ELKO Group, which is one of the largest companies in Latvia. Thanks to the purposeful operation and professional management team, ELKO Group is one of the rare Latvian companies that has also become an important player in its field on the regional level, in Eastern Europe. Successful development of such companies is one of the cornerstones for the growth of our country and a good example for other businesses on how to propose and attain high goals. With the granting of this loan, we are also continuing to implement the OP Corporate Bank strategy in Latvia: providing funding and ensuring banking services for large and medium companies of Latvia.”
Ieva Vīgante, Head of Swedbank Large Company Service Section: “We are happy to continue cooperation by extending the credit facility because we believe that this year and also the year after, the company will continue well-considered and successful growth in both existing and new markets. We highly estimate the ability of the client to even use challenging market conditions to achieve excellent results. During the 2nd quarter, Swedbank tripled the granting of new funding for companies compared to the 1st quarter, and we shall continue our work to support the development of companies.”
About ELKO Group:
ELKO Group was founded in 1993 and is one of the largest IT product wholesalers and IT solutions and services distributors in Eastern Europe, now also actively expanding to Central Asian market. ELKO represents more than 120 IT vendors and sells their goods to more than 6500 retailers, local computer producers and system integrators. ELKO offers more than 20 000 product titles from the most famous vendors – Acer, Apple, Asus, Dell, HGST, Intel, Kingston, Lenovo, Microsoft, Seagate, Supermicro, Western Digital and others. At the moment, more than 700 people are employed with ELKO. ELKO Group belongs to several legal entities and investment fund Amber Trust.