Latvijas Finieris will expand production facility in Finland with OP Corporate Bank financing
OP Corporate Bank plc Latvian branch has extended its existing loan agreement with AS “Latvijas Finieris,” increasing the loan amount to 15 million euros. The additional funding will be used to co-finance investments in expanding birch veneer peeling operations in Sastamala, Finland, where the group’s subsidiary “Riga Wood Finland” Oy operates.
AS “Latvijas Finieris” acquired the Sastamala facility in 2014 to strengthen its international presence and expand production capacity in the Nordic market. The group now plans to expand veneer block peeling, and this investment marks a significant step toward improving production efficiency, capacity, and competitiveness in global markets.
“The decision by AS ‘Latvijas Finieris’ to expand production in Finland demonstrates the company’s boldness and strategic vision for international growth. Like Latvia, Finland has a long-standing and strong tradition in the wood industry, making this regional expansion a key factor in enhancing the company’s global competitiveness. Representing Finland’s largest financial group, OP Financial Group, we are pleased to support investments that foster our customer's growth and strengthen business ties between Latvia and Finland,” says Elmārs Prikšāns, Head of OP Corporate Bank plc Latvian branch.
“Investing in the expansion of the Sastamala facility is a crucial decision for us, as the availability of wood resources in a broader region allows us to diversify risks and flexibly adapt to dynamic market fluctuations, ensuring stable deliveries of finished products to our clients. Considering the growing competition for efficient land use in Europe, "Latvijas Finieris" is purposefully moving toward processing approximately half of the veneer blocks needed by the group outside Latvia in the coming years. With the support of OP Corporate Bank, we will implement this project, which will benefit the growth of AS "Latvijas Finieris" as well as the prosperity of Finland, Latvia, and Estonia,” says Jānis Ciems, Chairman of the Board of AS “Latvijas Finieris.”
About AS “Latvijas Finieris”
AS “Latvijas Finieris” is a European leader in modern, customer-oriented birch wood solutions. Together with several subsidiaries, it forms the multi-sector group “Latvijas Finieris,” whose main business is the production, research, development, and sales of customized birch plywood products under the “Riga Wood” brand. The company’s birch veneer and plywood production facilities are located in Latvia, Lithuania, Estonia, and Finland, with products delivered to 56 countries worldwide across various industrial sectors under the “Riga Wood” brand. Birch plywood is used, for example, in concrete formwork systems and scaffolding, stages, interior solutions including decorative wall and ceiling panels, joinery products, furniture and shop fittings, transport flooring, walls and shelving, marine transport, high-quality packaging, and more.
About OP Corporate Bank plc Latvian Branch
OP Corporate Bank plc is the central bank of OP Financial Group, Finland’s largest financial services provider. It began operations in Latvia in 2012 and is now one of the leading banks in Latvia in terms of loan volume issued to medium and large enterprises. OP Corporate Bank plc Latvian branch provides financial services to leading companies in Latvia and plays a significant role in the long-term development of the country and the entire region.