EIB expands financing of care properties in Finland
- EUR 50 million long-term financing for care facilities provider Hoivatilat, which is active all over Finland.
- The financing will support the construction of 58 new care facilities, ranging from elderly care to child-focused care.
- The area of Hoivatilat’s activity covers nearly 95% of the Finnish population.
The European Investment Bank (EIB) and Finnish care facilities provider Hoivatilat have agreed on EUR 50 million of long-term financing. The first loan of EUR 30 million has now been signed. It will support Hoivatilat’s investment initiatives over the 2018-2019 period, during which the company aims to build 58 new care facilities. At project completion it is expected that a total of nearly 2,700 additional care places will be available across Finland.
Vice-President Alexander Stubb, responsible for EIB-lending in Northern Europe, said: “Hoivatilat plays an important enabling role in the Finnish care sector. With an ageing population, hospitals and care service providers across the EU need to gear up for the future of healthcare. I am proud that the Bank can support this particular project, which will allow new care facilities to be built, and I am positive that we will see further EIB support for the Finnish care sector soon.”
Jussi Karjula, CEO of Hoivatilat Oyj, added: “Hoivatilat is a fast-growing company, and we are very happy to start this cooperation with the EIB. There is currently strong demand for new nursing homes and day care facilities in Finland, and this EIB financing will enable important new investments.”
Finnish healthcare remains a priority for the European Investment Bank, as shown by over EUR 1 billion of total support over the last five years. Apart from medically focused mid-caps, support was made available to the University Hospital of Oulu, the Central Hospital of Mikkeli and the Espoo rehabilitation hospital, to name but a few.