Rietumu Banka has provided a EUR 20 million credit facility to Omega Laen, an Estonian mortgage lending group. The financing will be used to refinance the group’s existing liabilities, expand its mortgage loan portfolio in Estonia and Lithuania, and support its business development in Poland.
The financing comprises two credit facilities – one for the group’s parent company, Omega Laen, in Estonia, and another for its subsidiary, Kredito Garantas, in Lithuania. The financing structure also allows part of the available funds to be allocated to the development of the group’s Polish company, Balt Credit, providing an integrated financing solution for its operations across several markets.
“Rietumu Banka has extensive experience in financing alternative lending companies, and this segment remains one of our strategic priorities. Omega Laen is an experienced industry player with a stable business model and ambitious growth plans. We have developed a financing solution tailored to the group’s cross-border business model, providing the flexibility needed for its further expansion in the Baltics and Poland,” says Jeļena Buraja, Chairman of the Board / CEO of Rietumu Banka.
The Omega Laen Group has established a strong position in the Estonian and Lithuanian markets, while identifying Poland as its key market for future growth. The transaction structure developed by Rietumu Banka enables the group to make more efficient use of its assets and collateral in the Baltics to support its expansion into the Polish market.
“Operating across several markets, it was important for us to find a financial partner that understands the specifics of an international business group and can offer a financing solution tailored to our needs. Rietumu Banka’s credit facility will allow us to refinance our existing liabilities on more favourable terms and provide additional funding for our future growth. This will enable us to expand our loan portfolio in Estonia and Lithuania while accelerating our growth in Poland,” says Eduard Kimask, Member of the Board / CEO of Omega Laen.
The financing is in line with Rietumu Banka’s strategy of expanding corporate lending across the Baltics and other European markets by financing companies with sustainable business models and high-quality collateral.
The Omega Laen Group’s loan portfolio consists of loans secured by real estate, which is considered a more conservative lending segment compared with unsecured lending.
About Omega Laen
Omega Laen is a mortgage lending group providing real estate-secured loans in Estonia, Lithuania and Poland. The group’s parent company, Omega Laen AS, began operations in Tallinn in 2009. In Lithuania, the group is represented by Kredito Garantas, established in 2011, while its Polish operations are conducted through Balt Credit, established in 2014.