Our subsidiary Terrafame strengthens its financing position

As part of the financing solution, Terrafame and its main owners – Finnish Minerals Group and the Galena funds managed by Trafigura – have agreed on a EUR 100 million financing arrangement consisting of a EUR 50 million shareholder loan and a EUR 50 million equity financing commitment. In addition, Terrafame has agreed on a EUR 50 million advance payment arrangement with Trafigura.

In the same context, Terrafame has agreed on a one-year extension to the maturity of an existing EUR 250 million bank loan agreement as well as on extending a EUR 65 million revolving credit facility previously received from Finnish Minerals Group for the same period. The new maturity of the bank loan and the revolving credit facility ends in December 2028.

With these new arrangements, Terrafame will finance its ongoing significant investments, which will secure the continuation of operations far into the future.

Terrafame’s shareholder base

At the end of December 2024, Finnish Minerals Group, a special-purpose company wholly owned by the State of Finland, owned 56.1% of Terrafame, the Galena funds managed by Trafigura 39.4% and Mandatum Holding Oy 4.5%. The newly announced arrangement does not have a significant impact on the status of ownership.

Further information for media: 

Matti Hietanen, CEO, Finnish Minerals Group
firstname.lastname(at)mineralsgroup.fi, +358 40 823 8806

 

The mission of Finnish Minerals Group is to responsibly maximise the value of Finnish minerals. We manage the State’s mining industry shareholdings and strive to develop the Finnish value chain of lithium-ion batteries. Through our work, we contribute to Europe moving towards electric transport and a more sustainable future. www.mineralsgroup.fi