European Investment Bank granted Caruna a loan for network improvement projects
Caruna has agreed a loan of MEUR 200 with the European Investment Bank, the EU Bank, to finance their operations. This loan allows Caruna to carry out the planned extensive network improvement projects.
Caruna Networks Oy, the parent company of Caruna Group, has taken out a loan of MEUR 200, to finance the company's operations. The loan is granted by the European Investment Bank (EIB). The EIB offers long-term financing for sound and sustainable investment projects which contribute to furthering EU policy objectives.
The loan is intended for network improvement projects aiming to strengthen the reliability of Caruna's electricity supply by underground cabling of networks. The EIB monitors the progress of Caruna's project in accordance with the terms of the loan.
”The loan from the EIB enables us to realise our long-term plans and to improve the reliability of our electricity networks. We have committed to fulfilling our statutory obligations by 2028. This means that by that date, we must be able to resume the supply of electricity to our customers within six hours in urban areas and within 36 hours in rural areas,” said Jyrki Tammivuori, Caruna's CFO and acting CEO.
The loan period is 10 years. The final interest rate will be determined at the time the loan is paid out.
Standard & Poor’s has assigned Caruna a long-term corporate credit rating of BBB+ and a stable outlook.