Skip to main content

State Investment Management Agency grants funding to Utenos Trikotažas

Written by Customer Service on . Posted in Public Companies.

SBA Group company Utenos Trikotažas and the State Investment Management Agency (VIVA), which manages the Business Assistance Fund, have signed a financing agreement worth EUR 2.8 million. The fund will purchase the company’s bonds for EUR 2.3 million and will provide another EUR 500 thousand in the form of a loan. The financing is for a period of 6 years.

“Recently, we have experienced positive changes in the textile export markets – contract manufacturing is growing, and Utenos Trikotažas is working at full capacity. However, like most industrial sectors we are challenged by the effect of the cost of raw materials, labour and energy costs on our performance. The ongoing global pandemic inevitably has its effects too. The agreement with VIVA will help ensure the sustainable development and expansion of the company,” says Petras Jašinskas, head of Utenos Trikotažas.

“The financing will allow us to balance the company’s financial flows in a short period of time and continue investments in a planned and uninterrupted manner, and it will ensure greater stability in planning future development prospects. The financing has been granted for a period of 6 years, but the company will have the opportunity to repay the borrowed funds earlier,” said Dainius Vilčinskas, director-general of VIVA.

According to Mr Jašinskas, the next strategic step is to rebalance the assortment of both fabrics and production Utenos Trikotažas is offering to the market, focusing exclusively on innovative complex products of higher added value. To achieve this, the company’s functions have been reorganised with development and innovation-oriented teams focused on efficient work.

“Our competitive advantage is our strong track record in global textile innovation, and we are committed to growing our technology and innovation department and its competencies, expanding our team and strengthen our leadership in the production of exclusive textiles. This requires maximum focus and speed, which the funding will help us regain,” adds Mr Jašinskas.

In the first 9 months of 2021, Utenos Trikotažas sold orders and provided services valued at 19.9 million euros, which is 8.4 % more than during the same period in 2020, when the company’s sales amounted to 18.3 million euros.

More information:

Živilė Jonaitytė
CFO, Utenos Trikotažas AB
Mob.: +370 686 51938
Email: zivile.jonaityte@ut.lt

Disclaimer & Cookie Notice

Welcome to GOLDEA services for Professionals

Before you continue, please confirm the following:

Professional advisers only

I am a professional adviser and would like to visit the GOLDEA CAPITAL for Professionals website.

Important Notice for Investors:

The services and products offered by Goldalea Capital Ltd. are intended exclusively for professional market participants as defined by applicable laws and regulations. This typically includes institutional investors, qualified investors, and high-net-worth individuals who have sufficient knowledge, experience, resources, and independence to assess the risks of trading on their own.

No Investment Advice:

The information, analyses, and market data provided are for general information purposes only and do not constitute individual investment advice. They should not be construed as a basis for investment decisions and do not take into account the specific investment objectives, financial situation, or individual needs of any recipient.

High Risks:

Trading in financial instruments is associated with significant risks and may result in the complete loss of the invested capital. Goldalea Capital Ltd. accepts no liability for losses incurred as a result of the use of the information provided or the execution of transactions.

Sole Responsibility:

The decision to invest or not to invest is solely the responsibility of the investor. Investors should obtain comprehensive information about the risks involved before making any investment decision and, if necessary, seek independent advice.

No Guarantees:

Goldalea Capital Ltd. makes no warranties or representations as to the accuracy, completeness, or timeliness of the information provided. Markets are subject to constant change, and past performance is not a reliable indicator of future results.

Regional Restrictions:

The services offered by Goldalea Capital Ltd. may not be available to all persons or in all countries. It is the responsibility of the investor to ensure that they are authorized to use the services offered.

Please note: This disclaimer is for general information purposes only and does not replace individual legal or tax advice.