Rietumu Banka provided financing of 17 million euros for the development of the Grow Energy group of companies. Related enterprises Lādes piens and Ecofuels also participate as additional borrowers in the deal.
Grow Energy is based in the Limbaži region of Latvia and operates in the fields of agriculture and renewable energy. The enterprise implements an integrated business model that combines biomethane production, processing of animal by-products, and dairy farming.
The total financing amount includes over 9 million euros for refinancing existing obligations, as well as approximately 7.4 million euros for the buyout of minority shareholders in related companies. The deal allows for the consolidation of the ownership structure and ensures a more effective implementation of the company's strategy in the future.
"Rietumu Banka's long-term strategy includes targeted support for sustainable and 'green' energy projects. In this way, we promote the use of renewable resources and the implementation of circular economy principles. Grow Energy's development model makes a significant contribution to Latvia's energy independence and strengthens the country's overall economic growth. As a financial partner, we highly value the company's strategic vision, its ability to implement innovative solutions, and its long-term approach to business growth," said Arthur Jukš, a member of the Board and head of the Credit Management at Rietumu Banka.
The primary collateral for the loan consists of significant real estate assets, including a production facility for liquefied biomethane with a capacity of up to 9 tons per day — one of the few such plants in the region. Additionally, there is a facility for processing animal waste and its associated technical infrastructure, one of the largest dairy farms in Latvia with a herd of about 1800 cows, as well as more than 1500 hectares of agricultural land.
"Producing biomethane from local organic resources allows us to convert by-products generated on the farm into energy, which is used both in transportation and within the enterprise, while simultaneously reducing dependence on fossil resources. The financing provided by Rietumu Banka supports the implementation of our company's long-term development strategy, strengthening the integrated model of biomethane production and agriculture," said Karlis Bunduls, head of the production complex at Grow Energy.
About Rietumu Banka
Rietumu Banka is the largest Latvian bank with local capital and one of the leading banks in the Baltic region. The bank's activities are focused on servicing large and medium-sized enterprises in Latvia and other Baltic and European countries, as well as wealthy individuals. Rietumu Banka's clients include companies operating in sectors such as green energy, food and other goods production, commercial and residential real estate, construction, import and export operations, logistics, trade, financial services, technology, and other industries.
About Grow Energy
Grow Energy is a sustainable energy company that combines biomethane production with agriculture and transforms organic waste into high-value energy. The company produces biomethane for use in transportation (bio-LNG and CNG) and for electricity generation, providing low-emission solutions for the energy and transport sectors. Grow Energy's activities are based on the principles of the circular economy and aim to develop sustainable energy in Latvia and export markets.
