The European Bank for Reconstruction and Development (EBRD) has acquired a minority stake in waste management firm Eco Baltia for €10m.
Eco Baltia, which was established in 2002, operates in waste recovery, waste collection, polymer recycling and the sorting and trading of recyclables in Latvia and the Baltic states.
It will use the money invested by the EBRD in the construction of a mechanical biological treatment facility, which will extract recyclable materials from household waste.
About 90% of municipal waste is being landfilled in Latvia. The new facility will play a key role in enhancing a new way to waste management as per the European legislation.
EBRD head of office for the Baltics Matt Hyyrynen said: "We are very proud to sign this investment because we believe in Eco Baltia and the company’s activities and strategic direction. By becoming a shareholder, the EBRD aims to make a strong company even stronger for the benefit of the environment and the economy.
"Companies are increasingly realising the vast potential of recycling and for this they need waste management operators like Eco Baltia."
The EBRD has been investing in Latvia since 1991. The bank has so far invested over €620m in about 75 projects across all sectors of the economy.
Image: Eco Baltia provides waste treatment in Latvia and the Baltic states. Photo: courtesy of the European Bank for Reconstruction and Development.