Government capitalises Finnish Minerals Group in order to finance Terrafame

The Finnish Government has injected EUR 30 million of capital into Finnish Minerals Group, which is a fully state-owned special assignment company. The capitalisation is intended to strengthen the financial position of Finnish Minerals Group’s subsidiary Terrafame Ltd.

Finnish Minerals Group and Terrafame’s second largest shareholder, a fund managed by Trafigura, are participating in a financing arrangement made public today that includes a total of EUR 100 million in shareholder loans and equity financing commitments. At the same time, Terrafame has reached an agreement with its financing banks on the extension of the repayment of a previously granted loan.

The capitalisation was made using appropriations granted to finance Finnish Minerals Group.

Finnish  Minerals Group owns 56.1 per cent of Terrafame, which in turn owns a multi-metal mine and production facilities in Sotkamo, Finland. Terrafame produces battery chemicals for the electrification of transport.

Inquiries: Benina Uotinen, Special Adviser, [email protected], +358 295 160 040, Maija Strandberg, Director General, [email protected], +358 295 160 981, Minna Pajumaa, Senior Ministerial Adviser, [email protected], +358 295 160 147