Balticovo, the leading egg and egg product producer in the Baltics, has signed a €30 million loan agreement with the Nordic Investment Bank (NIB). The funds will be used to support the company’s business transformation and long-term sustainable development.
Balticovo is the first privately owned, locally capitalized company in Latvia to receive funding from NIB, highlighting the Bank’s trust in Balticovo’s ability to implement forward-looking, environmentally responsible solutions in the food industry.
“This long-term financing is a key milestone for a rapidly growing company,” said Kaspars Pīlādzis, Senior Banker and Country Lead for Latvia at NIB. “It will diversify Balticovo’s funding sources and accelerate their strategic shift toward more sustainable operations.”
The loan is part of Balticovo’s broader €150 million investment program aimed at modernizing the company’s production model and infrastructure. A major part of the transformation involves switching to cage-free egg production. The funding will help build twelve new cage-free henhouses, each designed to accommodate about 165,000 birds. These new facilities will include advanced lighting systems, continuous access to feed and filtered water, and energy-efficient climate control that improves bird welfare while reducing emissions of ammonia, dust, and CO₂.
“The loan from NIB is crucial for our business transformation,” said Vladimir Mkhitaryan, Chairman of the Board at Balticovo. “It will allow us to build twelve new henhouses, develop houses for pullets and to finance development of egg sorting lines, and the building of a new egg grading center. We are talking about a large-scale new production complex, which is why significant resources will be invested in infrastructure and efficiency improvements. Upon completion of the project, Balticovo will strengthen its position as a regional leader in egg and egg product production — a company capable of transforming its business model while maintaining high efficiency.”
NIB’s loan is supported under the InvestEU programme. In addition to support from NIB, the full €150 million investment plan is backed by long-standing financial partners Swedbank and Luminor. Swedbank’s dedicated team played an especially important role in ensuring financing tailored to Balticovo’s ambitious goals.
Jevgenijs Ivanovs, Swedbank Board Member: “Being part of Latvia’s growth story is truly gratifying, especially when strengthening a company’s position across the region. At Swedbank, we highly value relationships built on long-term mutual trust and growth. Balticovo’s DNA consistently drives thinking several steps ahead, expecting its financial partner to be more than just a provider of funds. Therefore, we are pleased to convert our sector expertise into financial support that will assist the company in achieving its future goals towards more efficient and sustainable production. I believe that involving an international financier in our banking club will provide all parties with the opportunity to gain new experiences and learn from each other.”
Balticovo is also actively developing ESG-focused initiatives, including a solar energy park, biogas production, water purification systems, and an innovative air-cleaning and heating unit.
“This support from NIB is not just financing—it’s recognition of our governance and sustainability strategy,” said Toms Auškāps, Head of Communications and Development at Balticovo. “Our aim is to run a business that respects animals, protects the environment, and meets the needs of society—both now and in the future.”
