Founded in 2008, the Company is part of an international construction equipment rental company group. The Company offers 25 product groups, including aerial lifts and working platforms, earthmoving equipment, cranes, power tools, scaffolding, telescopic handlers, and forklifts. In addition to the standard provision of rental services of its own equipment, the Company also operates through the split-rent and re-rent system. That allows the Company not only to generate additional revenues but also to have better visibility of the market without undertaking additional risk. The Company’s clients are both private individuals and construction and development companies. Currently, the group companies are operating in all 3 Baltic countries as well as Sweden and Finland. The Company is the group’s largest entity and operates in the Latvian market. The group’s total consolidated income for 2023 was EUR 42M. 

The Company is continuously expanding its operations by adding new equipment units to its portfolio. Therefore, the Company is seeking EUR 204,000 financing for 24 months to purchase small or non-registrable equipment to be rented out. The loan will carry a 10.8% annual interest rate (0.9% monthly) and it will be amortized monthly. The project risk rate is A (94 out of 100).

Altogether Capitalia has accepted an active maximum financing exposure of EUR 650,000, therefore additional tranches with the same structure could follow in the future. The first tranche of EUR 204,000 was already issued in July.

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

• The Company’s group’s consolidated income was EUR 42M in 2023.
• The Company’s group successfully attracted EUR 10M bond financing in March 2024.
• The Company has 16 years of experience in the construction equipment rental business.
• The Company is a construction equipment rental market leader in Latvia with a 22% market share.
• The Company is an existing client of Capitalia with excellent payment discipline.