OREANDA-NEWS. October 13, 2008. In order to replenish its working capital the biggest company in Latvia - IT wholesaler AS ELKO Group has increased the credit line amount up to USD 127 million, reported the press-centre of DnB NORD Banka.

ELKO Group entered into the first credit line agreement in amount of USD 60 million with  DnB NORD Banka in 2006 due to the rapid growth of the company. Already in 2007 the amount of facility grew up to USD 85 million.

The facility was arranged by AS DnB NORD Banka, and the Head of Corporate Banking Department Raimo Smukais explains: "In the current economic situation stabilization of the state economy and its future development depend on strong Latvian companies with well-considered vision, business plan and reliable counterparts that can successfully operate on both domestic and foreign markets.

DnB NORD Banka is ready to use opportunities provided by the Bank shareholders, leading Norwegian finance holding DnB NOR and the biggest bank in Northern Germany NORD/LB as well as expertise and knowledge of the Bank employees in establishing long-term cooperation with AS ELKO Group, organizing syndicated funding in order to provide AS ELKO Group with an opportunity to continue its development and penetrate new markets in even more dynamic manner".

AS ELKO Group was established in 1993. ELKO Group is the biggest Latvian company and last year its turnover exceeded one billion US dollars. The company's turnover in HI 2008 grew by 49 per cent as compared to the respective last year's period. In Latvian lats it tallies up to 29 per cent, which is due to rapid decline of US dollar. Gross profit of A/S ELKO Group in HI 2008 amounted to USD 26.5 million (LVL 12.1 million).