The Company, founded in 2000 and based near Talsi, has business in apple farming. Currently it manages 16.6 ha of apple orchards. The Company’s main client is the state through a program called “Fruit for schools”. Additionally, the Company sells apples to wholesalers and retailers.

The Company has a favorable opportunity to acquire additional land and expand its apple orchard operations. The financing will be used for the purchase of two land plots (total 6 hectares) to expand the existing orchard and perform basic improvement works on the newly acquired land to prepare it for agricultural use. 

There are a number of factors that make lending to the Company an attractive opportunity and the main highlights are as follows:

• The loan benefits from a guarantee from the European Investment Fund which allows Capitalia to provide a buyback guarantee in case such a guaranteed loan becomes default. 
• The owner of the Company will provide a personal guarantee for the loan.
• The Company is a repeat client of Capitalia with an excellent payment discipline.
• The turnover of the Company has been growing steadily for the past 5 years.
• The Company maintains a solid equity-to-assets ratio of 0.65 which is above the industry benchmark.