Financing programme for stabilisation

Finnish Industry Investment has launched a financing programme for stabilisation. The company has reserved MEUR 100 for the programme according to government guidelines and plans to invest the capital during 2009-2011.

The programme aims to safeguard operations of viable companies that have encountered temporary difficulties as a result of the economic downturn, and to facilitate corporate and sectoral restructuring needed in Finland.

The investee company:

- is growth-oriented
- is not in debt restructuring or bankrupt
- is prepared to refocus and revitalise its operations
- can operate in different sectors
- generates turnover of at least MEUR 10
- has less than 2000 personnel at the time of investment

Criteria for stabilisation investments:

- Investee company’s business operations have previously been profitable, and future profitability is foreseen.
- Co-operation exists between the investee company’s current owners, management and debt financing providers.
- Investments will be either equity investments or debt financing
- A private investor will provide at least one-half of the financing needed.
- To spread risks, Industry Investment’s share of an individual investment will be MEUR 1-15.
- Investee company’s owners will make a new investment or, alternatively, a new external investor may become involved.
- Financing is used for investments or for the company’s working capital.

After the investment

The company’s management, owners and financiers work in cooperation to systematically develop the company’s operations further. Investors can contribute their own business expertise actively on the board of directors and, if necessary, can lease directors. Investors are generally involved in the company for some years, after which the exit, agreed at the time of the investment, can be finalised. 

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Contact us > M&A, Buyouts

A proposal for a prospective stabilisation investment can be made to Industry Investment by the company itself or by a co-investor – i.e. a private investor, bank, pension fund or private equity investment firm – known to the company. You are encouraged to contact our investment professionals early to allow adequate time for analysing, setting terms, and implementing the investment.