Публикация Finnish Industry Investment Ltd´s Январь 2010

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Goldfrom Karelia

FinNode creates international

Growth company sells its expertise in Asia

In Finland’s innovation strategy, boosting national wellbeing is based on innovations that support sustainable development and on improving productivity.

New reports set sweeping objectives. How can we once again become an information society leader? How can we restructure the public sector and enhance its efficiency? How can we improve the activities of the Finnish innovation system so that we support the creation, growth and international expansion of as many new companies as possible?

Operations must be more international. The FinNode network is a significant step towards international networking. It helps Finnish companies enter new markets, reinforces the visibility of Finland’s innovation activities, and attracts foreign companies to Finland. In this issue, leading figures in the FinNode network in America’s Silicon Valley and in Russia, China and Japan tell us

about their services and the discernible market signals there.

A growing proportion of Industry Investment’s activities are international, and investing often focuses on international expansion. One example of this is Silecs, an Espoo-based manufacturer of specialty chemicals and coating materials that operates in the rapidly growing Asian market.

Many industrial localities suffer from global restructuring. State participants play a key role in creating new business and new jobs. We introduce two industrial portfolio companies: ecofriendly nonwoven fabric manufacturer Lacell, and gold mining firm Endomines.

In Latin America, more companies and experienced investors from Finland are needed in the market. Cate Ambrose, Executive Director of the Latin American Venture Capital Association, says that inves-tors around the world are investing in sectors that feed demand from the continent’s prospering middle class – health services, construction, entertainment and the retail industry.

In the recent corporate image survey, Industry Investment was rated highly for the confidentiality of cooperation, expertise, and social responsibility, while respondents saw more room for risk taking.

I thank our partners for the past yearand wish everyone a Happy New Year!

Aiming for productivity and world-class expertise

Juha MarjosolaPresident & CEO

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EDITORIAL

LATIN AMERICA ATTRACTS INVESTORSA prospering middle class and a young population is an attractive equation for investors, according to Cate Ambrose, Executive Director of the Latin American Venture Capital Association (LAVCA).

FINNODE SENSES FUTURE TRENDS Finland’s FinNode network in the USA, Russia, China and Japan networks local and Finnish innovation business.

SILECS GROWS ON THE ASIAN MARKETThe Finnish company’s flexible model challenges its big global competitors.

GOLD FEVER IN KARELIAEndomines’s Pampalo gold mine will bring new jobs to Ilomantsi.

ECOFRIENDLY NONWOVEN FABRIC FROM FINLANDLacell’s newly constructed mill will start production in spring.

VIEWPOINTSeed investing – investment or innovation policy?

CORPORATE IMAGE Industry Investment’s corporate image survey 2009

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PUBLISHED BY FINNISH INDUSTRY INVESTMENT LTD, KALEVANKATU 9 A, P.O. BOX 685, FI-00101 HELSINKI,

FINLAND, TEL. +358-9-680 3680, FAX +358-9-612 1680, [email protected], WWW.INDUSTRYINVESTMENT.COM

| EDITORS-IN-CHIEF JUHA MARJOSOLA, ASTA SJÖBLOM | PUBLISHER SANOMA MAGAZINES FINLAND CORP., CUSTOM PUBLISHING,

| EDITORIAL STAFF TAPIO KIVISTÖ, EEVA-MARIA LIDMAN | TRANSLATION PETER SALTER | LAYOUT PIA HYTÖNEN | PRINTED BY PAINOYHTYMÄ OY 2009

| ISSN 1796-0266 ADDRESS CHANGES [email protected]

2 Industry Investment 1/2010 3Industry Investment 1/2010

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W hy is it worth investing in Latin America?

Investors are interested in areas and countries that they think have good future prospects and steadily growing GDPs. In Latin America, the size

The Latin American venture capital market is more enticing than ever.

Cate Ambrose, Executive Director of the Latin American Venture Capital

Association (LAVCA), nevertheless recommends that investors study the

local market carefully first, or cooperate with experienced funds.

Investors set their sights on Latin America

Text: Varpu Sihvonen | Photos: Alamy, Greg Martin and iStockphoto

and spending of the middle class is constantly increasing. The popu-lation’s average age is low, so there will be plenty of consumers in the future. In Brazil and Mexico, for instance, the average age is less than 30 years.

Latin America’s gross domestic product (GDP) is growing faster »

than industrial countries’, and the region has huge commodity and agriculture reserves. This has prompted many international inves-tors to investigate for the first time investment opportunities in Latin America.

There is no doubt about whether investors would have noticed Latin

The region has huge commodity and agriculture reserves“ ”


Venture capital’s biggest challenge in Latin America?

Investment is still new but future experiences will be closely watched. The region lacks funds that have been active and successful over the last decade. For instance, in 2008 some 4 funds accounted for 85 per cent of the region’s fundraising.

Fortunately, this is being rectified, helped by local pension companies in Peru, Columbia and Brazil starting to invest. Pension funds have been able to raise funds and thus to chart their experiences.

The exit process is challenging in Latin America, because Mexico, Peru and Columbia do not have stock exchanges like Brazil does. Finding a buyer has not always been easy, and bad experiences may scare off investors.

How can LAVCA help investors?

Collecting and acquiring informa-tion has been difficult, and we can help there. We have started com-piling data about VC investments in Latin America. The first report was conducted in 2008, when 150 funds gave us information about fundraising. We summarised the information in a book and – judg-ing by demand – this information is needed.

Some of our publications can be downloaded from our website, some must be ordered.

How do you see the future?

For fundraising, 2009 was a difficult year. I believe, though, that 2010 will be good for fundraising and that institutional investors will again be more active.

With Latin America, you must

Latin American Venture Capital Association LAVCA

n Founded in 2002, office in New York

n Members consist of 60 international and local venture capital firms.

n Executive Director, Cate Ambrose. She has earlier worked in UN positions in Latin America, management tasks for The Economist magazine, and as a journalist in Spain.

remember that some 90 per cent of companies are family-owned.

Older generations may no longer want to continue in the business. They will hand over responsibility to their children, many of whom have been trained in economics in the USA. Younger generations have travelled more and have ideas about how to run a company. Changes will not happen overnight, but investors’ money will be in a key role when the younger generation modernises these inherited businesses.

Companies in Latin America need foreign capital. Venture capital

is viewed in a posi-tive light, and has political support.

What kind of cooperation do you expect with Finland?

Finland is one of the wealthy coun-tries, and home to

experienced investors who know their business. As I see it, European investors think of the future, actively seek new prospects, and are therefore interested in Latin American invest-ment opportunities. I think Finland belongs to that group.

www.lavca.org n

Brazil is a growing trade partner for Finnish companies

n Finland’s exports to South and Central America amounted to MEUR 1,582 in 2008, representing 2.4% of Finland’s total exports.

n Finland’s imports from South and Central America amounted to MEUR 1,675 in 2008, representing 2.7% of Finland’s total imports.

n Finland’s biggest trading partner in Latin America is Brazil. Finland exported MEUR 600 worth of products to Brazil in 2008, an increase of 25% on the previous year.

– Finland’s main exports to Brazil were paper as well as machinery & equipment, such as telecoms hardware. Finland’s chief imports are pulp, food products, raw materials, ethanol and planes.

– The Brazilian operations of Finnish companies generated net sales of EUR 2.7 billion.

– Finnish companies employed some 20,000 people in Brazil.

– Finnish companies operating in Brazil include: Ahlström, Stora Enso, Metso, Ponsse, Pöyry, Outotec, Wärtsilä, Elcoteq, Nokia, and PKC Group.

Sources: Finpro, Customs, and Finland’s Ministry for Foreign Affairs

America’s development over the last decade. The region’s biggest states are now politically stable and economi-cally well-managed.

Latin America has also managed well in the global financial crisis, thanks to its well-regulated banking system.

Which sectors are on the rise?

Consumer markets – especially healthcare and education – are the most popular, because the prosper-ing middle class can afford health and education services. Generally, the attractive sectors are those that meet the needs of young middle-class families: healthcare, construc-tion, entertainment like funfairs and casinos, consumer goods, and the retail sector. Funds from around the world have invested in these sectors. Singapore, for example, is an active investor in Latin America, and China is looking for long-term opportunities.

There are indeed investment op-portunities, but funds must know how to invest in Latin America. There is not so much competition in the region as in China or In-dia, and in that sense investment prospects are easier to find when you are not up against dozens of other competitors each time. Another important factor is that an investor must know the local market and have an on-the-spot representative. First-generation investors in the mid-1990s made the mistake of operating from New York, or Dallas – in fact, from any-where except in Latin America. It is essential to recruit local experts, maybe open a local office, and find local partners. An investor must have a physical presence or acquire local partners.

Investors’ money will be in a key role when the younger generation modernises inherited businesses

“”

Industry Investment 1/20106 Industry Investment 1/2010 7

Cate Ambrose, LAVCA’s Executive Director.

Photos: Dimitri Lovetsky, Peter Mattersdorff, Qilai Shen and Dino Vournas

FinNode guides companies to the right market

JUKKA SALMINIITTY FinNode USA, Silicon Valley

1. FinNode’s background organization con-sists of Finpro, the Finnish Funding Agency for Technology and Innovation (Tekes), Sitra (the Finnish Innovation Fund), and the Academy of Finland. Together with cor-porations and strategic expertise clusters, it looks to us for a view of future trends and links to local centres of excellence, such as Stanford University and the University of California. Growth companies and the do-mestic networks serving them seek a better market understanding and tools for market entry. To meet this demand, this year we’ve started the Gaselli USA Program.

2. Customers come to us through national programmes and big cooperation projects. That enables us to serve a larger number of players with limited resources. Dozens of Finnish companies visit Silicon Valley each year, mostly from ICT, cleantech and service business sectors. New business models and innovation models also interest companies.

3. Silicon Valley is typically very customer-oriented, demand driven and quick to react to detected opportunities. Widespread networking, and open sharing of informa-tion and contacts are crucial. Activities are very results-oriented, and added-value for

contacts should be quickly created. Silicon Valley is very international: over 50 per cent of growth companies’ CEOs were born out-side the USA. An effective venture capital market is a definite advantage.

4. A company should first understand a market opportunity and then, supported by a local network, survey the actual needs of customers. The best way to do this is through discussion with notewor-thy customers, partners and competitors. The important partners in this phase are business incubators, service providers and financiers.

5. Monitoring and understanding of the market are often deficient. Strong inter-national competition has raised the bar. A company should be able to explain the added value it produces, from the custom-er’s viewpoint, in just over one minute. Dif-ferences in business cultures are also bigger than you might think. Market entry should be handled as a strategic investment, because success requires expertise and products to be crafted to match local market demand. Solving a problem is what’s important, not just sophisticated technology.

6. The Gaselli Program developed by Fin-Node prepares rapid-growth companies for what to expect in Silicon Valley. How to construct a market-oriented value-add

promise to customers, partners or investors, and how to present it in 90 seconds. Also, we’ve built up cooperation with the Plug & Play Tech Center business incubator that operates in Silicon Valley, so companies can go there for a month to survey the market and to network. One Finnish company went there to chart potential customers, partners and financiers. Within a month the company found some important open-ings to leading companies in its field, and launched its services very successfully and with high media visibility.

7. Developed and well-organised Finland could function in the future as a test market for global suppliers. Interesting possibilities for this in the Test Bed Finland project are mobility, health and wellbeing, and train-ing.

8. Social media and their widening use as a business culture tool. A breakthrough in wireless broadband and the mobile eco-system. Rapid growth in green technology (including clean energy, energy saving, green construction, and advanced vehicle technologies). There’s considerable develop-ment also of innovation models (including open innovation, social development, and experimental innovation).

TIMO KOPONEN FinNode Russia, St Petersburg

1. Our objective is to ascertain ways to make Finnish companies competitive on the Russian market in 3–5 years’ time. We analyse developments and market signals in the Moscow and St Petersburg areas. As the result of our work, each year we present some research projects for launch-ing.

2. Our customer groups are FinNode’s background organisations, centres of ex-pertise, and expertise clusters. There are 13 clusters in the Centre of Expertise programme, in which some 8,000 Finnish companies operate. In 2008 we explored new business models arising from develop-ment of Russia’s wellbeing services. We’re also exploring the competitiveness

1. Which of your services have grown fastest?

2. Number of customers and their sectors?

3. Typical characteristics of the local business environment and culture?

4. Main local networks – who and what to know?

5. Biggest challenges for Finnish companies in your country?

6. Recent example of client company’s problem and its solution?

7. How best to attract your country’s companies to Finland?

8. Your forecast for rising signals in 2010?

The FinNode network operates in China, Russia, the USA and

Japan. FinNode helps Finnish companies enter markets, reinforces

the visibility of Finland’s innovation activities, and attracts foreign

companies to invest in and pilot operations in Finland. The heads

of FinNode centres each tell us about their country of focus. »

Jukka Viitanen, FinNode Japan, Tokyo

Jukka Salminiitty, FinNode USA, Silicon Valley


of Finnish construction in the local market. In addition, we’re investigating how the recession has changed the Russian ICT market and what possibilities that offers companies. The fourth topical sector is Russia’s rapidly modernising automotive industry.

3. Russia is an economy of regions and net-works. When entering the market, it’s es-sential to join some network. For example, in the ICT sector it’s good to link up with a local partner that operates in the same sector and is already in the business.

4. As above.

5. The biggest challenges are arranging placement in the market and production. The competitiveness of Finnish export prices has suffered due to a strong euro and weak rouble. By manufacturing products in Russia, a company can safeguard its competitiveness.

6. We selected two innovations, which were interesting products for Finnish companies, from an innovation competition held in Russia. One is a pencil that can measure blood sugar. Patient data is sent by mobile phone to a doctor, and the doctor promptly sends care instructions back. The other in-novation is a biological method for clean-ing oil-contaminated soil. We’ll develop both projects with Technopolis Ventures and find out whether Finnish partners are interested in them.

7. A lot of innovations are born in Russia, but they are not ultimately utilised very well. In Finland the opposite is true: our innovation system is effective, but we lack good ideas. We’re currently thinking of ways we could attract Russian innovations to Finland for productising and commercialis-ing with a Finnish partner. If an innovation proves to be interesting, the partners could set up a company in Finland, and obtain both Finnish and EU funding.

8. In 2010 we’ll focus on studying the rapidly changing ICT sector and social networks. We must also look ahead with

regard to the forest industry, despite the recent debate about timber export tariffs.

JAANI HEINONEN FinNode China, Shanghai

1. FinNode China’s strength is good net-works with the public science and tech-nology sectors. China is a society run by officials, so it’s important to identify the officials affecting your own operations and be able to utilise Finland’s official repre-sentatives, such as the Ministry for Foreign Affairs, Tekes and Finpro.

2. We operate in cooperation with the FinChi Innovation Center, which is owned by Finpro, via which companies can also use FinNode China’s services. FinChi has col-laborated with over 40 Finnish companies, and at present over 20 Finnish companies are exploring their business opportunities on the Chinese market. The biggest sectors are ICT, environmental technology, and the metals and engineering industry.

3. In China nothing is easy, but everything is possible. On the surface, things may seem clear but many different challenges can be hidden in the background that need time and understanding to address. Operating here demands a long-term approach and strategic commitment. Despite China’s breathtaking growth figures, very rarely is a success story born in a couple of years, and results may take 3–5 years to achieve. Good business opportunities are constantly opening up in China, but the situations are

often over before Finnish companies have time to react.

4. In addition to your own customer and supplier network, it’s important to know which officials affect your operations.

5. The positive challenges include managing the market’s rapid growth and by doing so meeting demand. Negative challenges relate to Chinese companies’ growing in-house knowhow and the intense competition on the Chinese market.

6. A Finnish company was the subject of false allegations made by a Chinese com-pany, which started adversely affecting day-to-day operations. The local officials did not at first take the matter seriously, so the Finnish company asked us for help. Since we have good relations with the area’s highest officials, we managed to calm the situation so the Finnish company could once again concentrate on its business.

7. Nokia is very well known in China, and Finland is seen as a hi-tech country with un-spoilt countryside. Technology firms could be enticed to Finland that would bring their expertise to western markets by setting up R&D operations in Finland. Finland’s competitive edge in attracting investment is a sophisticated innovation environment that is open to foreign players.

8. China’s innovation ability is growing stronger more quickly than the rest of the world realises. Addressing the enormous

environmental problems in China opens up opportunities also for Finnish technologies. China is developing into the world’s leading user and developer of energy technology. In China, 3G mobile technology was late to market. Consequently, it will only be an intermediate phase, because China is now investing directly in 4G technology and applications derived from it.

JUKKA VIITANEN FinNode Japan, Tokyo

1. We collect signals that indicate market change, report on them to our background organisations, and produce data for compa-nies to use. So far most of the collected data is used in the work of the Finnish Funding Agency for Technology and Innovation (Tekes), Finpro, the Technical Research Cen-tre of Finland (VTT), and Sitra (the Finnish Innovation Fund). Finpro has productised the service for some of its key customers.

2. In particular, we monitor developments of ubiquitous computing and mobile services. Our second theme is ICT solutions devel-oped for home care and a care environment for an ageing population. In addition, we’re interested in consumer trends in lifestyles of health and sustainability (LOHAS) and LOHAS consumers.

3. Japan is still ahead in services for ubiq-uitous computing and implementing these services. Tokyo contains a lot of people in a small area, and it’s easy to roll out trials of solu-tions that will interest the consumer in such an en-vironment. One example is the train fare payment system that combines a mobile phone and a near-field communication card. Millions of these are used every day. There are good grounds for investing in the construction of this type of ecosystem.

4. Finnish companies should know the services offered by Finns in Japan. The Finnish Chamber of Commerce is active in Tokyo, and offers expert guidance on how to operate in the country. Finpro and JET-RO (Japan External Trade Organization), among others, offer free market reports and office premises during a company’s reloca-tion phase.

5. When they come here companies must be prepared for market entry to take a long time. The Japanese decision-making culture differs from other countries’ in that very thorough background checks of all partners and customers are conducted here. This is a big challenge, especially in

SMEs looking for results that will quickly lead to business.

6. FinNode Japan was established only a year ago and is so new that we have no examples to offer.

7. Finland should be offered to foreign companies as a test market. This would be an excellent way to convince international companies that it would make sense to conduct pilot-sized market trials in Fin-land. Also we have both public and private organisations that can provide services for such projects.

8. A new type of media society is emerging. Japanese companies are seriously testing how a consumer can be approached via media using sensor technology and mobile solutions.

www.finnode.fi n

Timo Koponen, FinNode Russia, Moscow

Jaani Heinonen, FinNode China, Shanghai

“”

When entering the market, it’s essential to join some network


Specialty chemicals and coating materials manufacturer Silecs has this year won

five major contracts to supply international manufacturers of semiconductor and

microcircuit technology. Silecs’s technology improves the performance and durability

of, for instance, digital cameras, flat-panel TVs and memory cards.

Text: Olli Manninen | Photos: Munshi Ahmed, Juha Salminen and IStockphoto

“Business cycles have actually helped our company to grow. Our

operating model is based on speed, flexibility and cost-effectiveness. Our patented technology enables our customers to boost their produc-tion and enhance the performance of their end products,” says Silecs’s CEO Kok-Whee Teo.

Silecsbecoming an international frontrunner

In Teo’s view, the whole sector has a bright future because the global market for chemicals and materials needed by the electronics industry is forecast to reach the EUR 20 billion mark next year.

“Silecs has good prospects for becoming an international front-runner as we systematically pursue our targeted business strategy. Our goal is to reach annual turnover of MEUR 200 by the end of 2015,” promises Teo.

Silecs’s technology enhances the performance, picture quality, colour shading and service life of flat-panel TVs, digital cameras, solar cells, LED applications, and memory cards for consumer electronics. The technol-ogy reduces power consumption and simplifies the manufacture of micro-circuits, which cuts production costs and retail prices of end products.

RAPID ADAPTABILITY GIVES COMPETIVE EDGE

“Our competitive edge derives from solutions tailored for the customers, which are implemented cost-effec-tively, flexibly and ecologically,” says Teo.

The materials of Silecs products are photosensitive, so filtered light containing many shades of yellow is used in production.

»

A process technician places silicon wafers into a diffusion oven in Silecs’s Espoo plant. The oven is used in manufacturing model wafers and in the quality control of products.


“I was interested in taking over the helm of the company because it of-fers its customers good technology, solutions and production.”

Singapore-born Teo describes his job of managing a Finnish company as inspiring and satisfying. Teo has found it easy to assimilate Finnish ways of working, and communica-tion with Finns has been straight-forward.

“I’ve worked in different coun-tries in numerous international companies, and also with Finns, during my career. From experience I can say that experts from different countries blend into the company’s own work culture fairly easily, de-spite national differences. A good manager can infuse his or her team with the company spirit and get people involved. Silecs’s employees are motivated to work both as a team and as individuals.”

Silecs’s model combines the best features of both Finnish and Asian working cultures.

“Finns are very creative and com-mitted to their work. Asians, for

their part, are very systematic, but not necessarily creative enough in development tasks.”

SALES AND MARKETING ARE THE SHOWCASE

Established in Espoo, Finland, in 2001, Silecs’s roots go back to re-search work conducted by the Tech-nical Research Centre of Finland VTT that focused on reducing the size of microcircuits and improving the quality of end products by means of new materials. The company’s product and technology solutions now have over 30 patents or patents pending worldwide. The company was awarded the InnoFinland Prize of the President of the Republic in 2006.

In 2008 Silecs received a MEUR 6 investment from Swedish Innova-tionsKapital, British Tempo Capital Partners and Finnish Industry In-vestment.

Kok-Whee Teo believes that the involvement of private equity in-vestors gives much more muscle to strengthening the company’s sales and marketing.

“A technology company’s big-gest challenge is to sell its expertise to customers in an attractive way. Alongside engineering excellence, a successful company needs just as much excellence in marketing and the ability to understand the needs of the global operating environ-ment,” says Teo.

www.silecs.com n

Silecs currently employs 35 people. The company’s R&D and plant are located in Espoo, Finland, while management and sales are concen-trated in Singapore, Hong Kong and Taiwan, close to the main markets. The company also has extensive cooperation in Japan as well as sales agents in Europe and the USA. Silecs’s effective networking model allows the company to serve its cus-tomers around the world.

“Although competition in the microelectronics industry is very in-tense, this year we’ve won a number of new contracts,” says Teo.

The competition includes major global players, but Teo believes in his

company’s carefully crafted operat-ing model.

“We are where our markets are. Through our network we can adapt quickly to our customers’ require-ments.”

CREATIVITY AND EFFICIENCY SUPPLEMENT EACH OTHER

Kok-Whee Teo, who was appointed CEO of Silecs just over a year ago, has a long career in the international electronics industry behind him in, for example, Texas Instruments and Molex.

He says he brought solid manage-ment and sales expertise to Silecs.

Kok-Whee Teo, CEO, Silecs

The whole sector has a bright future“ ”


Silecs’s products improve the performance, picture quality, colour shading and service life of flat-panel TVs, digital cameras, solar cells, LED applications, and memory cards for consumer electronics.

A long-term dream will come true when Endomines Ab opens the Pampalo gold mine in

autumn 2010 at Hattuvaara in Ilomantsi, Finland. The new gold mine is a major event for

the whole area. The year-long construction phase will employ up to 100 people.

Text: Pekka Moliis | Photos: Pentti Potkonen and Endomines Ab

Gold at last!

SThe whole area, which suffers from high un-employment, has been keenly interested in the mining company even

before the decision to open the mine. Once operations start, some 70 people are expected to be on the payroll. As in many other mining projects, the company will train the personnel it needs itself.

Markus Ekberg, who started as CEO of Endomines Ab at the beginning of August, says that the company has now started the ball rolling.

“Recruitment training started in December. We’re co-training proc-ess minders and mine workers in collaboration with the employment authorities.”

According to the plans, some 230,000 tonnes of ore a year will be mined at Ilomantsi, from which about 1,000 kilograms of gold will be extracted. Gold ore will be mined 5 days a week in two 10-hour shifts,

of Employment and the Economy granted MEUR 2.5 development aid to the project from structural funds in the Eastern Finland Programme.

“Total investments amount to MEUR 20. The rest is needed to launch operations in the starting phase,” says the CEO.

One of the investors in the gold mine is Finnish Industry Investment Ltd.

“Industry Investment has made a significant contribution towards im-plementing the project,” says Jaakko Liikanen, founder of Endomines.

Industry Investment made its first investment in 2003 in Kalvinit Ltd, which planned to quarry ilmenite in the Kälviä area. Kalvinit later merged with Endomines.

“Industry Investment’s role as a long-term investor has been vitally important to Endomines, because it has made follow-on investments during the mining company’s critical stages,” explains Tuomo Mäkelä, one of Endomines’s board members. »

Endomines’s CEO Markus Ekberg (right) and geologist Jaakko Liikanen.

while the concentration plant will operate around the clock in three shifts.

The price of gold is currently slightly over USD 1,000 an ounce. That is high enough for Pampalo’s profitable operation. The present price of gold is 20 per cent higher than the price used in the feasibility calculations, and covers direct pro-duction costs twice over.

SHARE ISSUE ONE STEP ON THE PATH

The global recession has frozen many mining projects. The Pampalo gold mine is the first of Finland’s ‘new wave’ mine projects to move ahead since the downturn.

Endomines is seeking mine fi-nancing of MEUR 28 from various sources. A share issue will raise some MEUR 16. A project loan of MEUR 8 is being negotiated with Nordea Bank, of which Finnvera will guar-antee MEUR 6. Finland’s Ministry


trating have been carried out at the mine. Our biggest challenge now is keep the work on schedule and mov-

ing ahead,” says Markus Ekberg. “An extraordinary general meeting will make the final decision, but contract negotiations will be started imme-diately. During the autumn a sand precipitation pond and concentra-tion plant were constructed. We’ll try to get work moving quickly before winter sets in,” explains Ekberg.

The forest has been cleared to make room for the precipitation pond. Next is a massive earthworks operation. A crushing plant, office premises and service buildings will also be erected on the site, and a new electricity supply line built.

“Test runs will be made in Octo-ber 2010 and actual production will start in early 2011,” adds Ekberg.

The known ore reserves of the Pampalo gold mine will last five years – with more to come.

“There are two other deposits nearby that we can utilise here. All the known ore reserves will support over seven years of operation.

PROJECT STARTED DECADES AGO

A lot more is needed to start a gold mine than faith that ‘there’s gold out there’. Soil testing stated in Pampalo back in the 1980s. The Finnish government tendered out the deposit to Outokumpu Cor-poration in 1994. In 1996 open-face mining was started, which produced good results. A couple of years later a side drift 2.5 kilo-metres long was bored.

“Outokumpu’s test quarrying produced some 1,600 kilos of gold. The work cost MEUR 10 and was

financed by the proceeds of test min-ing,” says Ekberg.

Endomines was founded over a decade ago by geologist Jaakko Liikanen and Doctor of Technol-ogy Timo Lindborg. Endomines Oy and Kalvinit Ltd were later listed on the First North list of the Stockholm Exchange as a part of the En-domines AB group. Endomines Oy is a Finnish company domiciled in Ilo-mantsi, Finland.

Despite good results, Outokumpu did not open a mine, because the company had decided to wind down all its mining operations. Endomines acquired control in 2006, and since then has invested MEUR 3.5 in the

mine. In 2007 the side drift was extended by 100 metres.

“The mine pumps have continu-ously been extracting water from the depths of the mine. Luckily the

pumps were not stopped, because renovating a waterlogged mine would be a huge job,” says Ekberg.

“Our faith was tested. If it had wavered, this project would not have been started,” adds Liikanen.

www.endomines.com n

Our faith was tested. If it had wavered, this project would not have been started“ ”

Markus Ekberg, CEO of Endomines

The Pampalo mining concession covers an area of approx. 300 hectares, and the mining area approx. 100 hectares.

“Follow-on investments in En-domines have supported the parent company’s wider business develop-ment, so it was consequently feasible to support the Pampalo gold mine project,” says Mäkelä.

On an international scale the Pam-palo gold mine is a small project.

“Preparation for the share issue has not been easy. It should be a much bigger project to attract the attention it deserves. Getting a bank loan was an achievement in itself in today’s business climate,” says Markus Ekberg.

GOLD IN FIVE YEARS

Endomines’s CEO Ekberg and ge-ologist Liikanen are convinced of the project’s success.

“Test mining and test concen-


SSituated in the Northern Kymi Valley in Finland, Lacell’s nonwoven fabric mill will employ an esti-mated 40–50 people in

spring 2010, in an area that a few years ago lost hundreds of jobs as a result of the Voikkaa paper mill closure. The new production plant will also indirectly create jobs in maintenance and financial admi-nistration.

“From our viewpoint, the impor-tant factors in situating the mill here were good connections to seaports and the proximity of our largest cus-tomers,” explains Lacell’s Managing Director Risto Tamminen.

The production line will start up in the spring working two shifts, but during 2010 will switch to three shifts.

“Operation should be on a stable footing in 2011, when we expect to operate at one-third capacity,” says Tamminen.

One year ago Finnish Industry Investment Ltd co-invested MEUR 4.6 in the construction of Lacell’s mill, together with Midinvest Mana-gement Oy and private investors.

AIRLAID – NO WATER

Lacell will manufacture nonwo-ven fabric from pulp using airlaid technology, for use in hygiene products, napkins and table covers,

Construction of Lacell Oy’s mill in Iitti

is nearing completion. Next spring the

modern production line will manufacture

pulp-based nonwoven fabric for hygiene

and tabletop products.

Nonwoven wipes clean

Text: Outi Airaksinen | Photos: Jani Sourander

packaging, filters and hospital wi-pes. The absorbent material has wet strength and is lint-free, so it is ideal for cleaning hygienic premises.

Lacell’s nonwoven fabric is an eco-friendly alternative compared to competing plastic–based mate-rials, because the raw material is mainly renewable Finnish pulp. The material can be incinerated for energy, and probably also recycled as insulation. Since water is not used in the production process, there are no wastewater problems in manu-facturing.

“A large proportion of products will go to hospitals and nursing ho-mes, as well as to agriculture, where demand is stable. The market needs better and more advanced disposab-le materials that are environmentally friendly,” says CEO Tamminen.

A LOCAL AND FLEXIBLE SUPPLIER

In line with its strategy, Lacell offers nonwoven fabric to compa-nies that operate in the Baltic region – and especially in Russia. Letters of Intent have already been signed with a number of customers. Tamminen believes there is plenty of room in the market for local production that focuses on serving SMEs.

Lacell does not really have any competitors in Finland. The eco-friendly airlaid material is a com-petitive alternative to plastic-based nonwoven fabric in terms of both price and properties. Large manu-facturers in Germany and Sweden, on the other hand, serve large cus-tomers.

“Small customers have not been satisfied with large suppliers’ delive-

ry times and excessively large delivery batches. We will try to be a medium-sized, flexible and service-minded supplier to small and medium-sized customers,” says Tamminen.

Tamminen points out that the market for Lacell’s nonwoven fabric has grown annually by 7–15% more than that for competing products.

A NEW PRODUCT IS BORN

The foundation for airlaid expertise was laid in the early 1980s in Finland when UPM-Kymmene’s predecessor, United Pa-per Mills, was granted a patent for manufactu-ring paper w i t h o u t using water. After de-velopment and testing, a product corresponding to soft tissue was created and named Walkisoft. The product was first manufactured in Kotka, Finland. Risto Tamminen as well as Lacell’s current sales manager and shareholder Tervo Karvonen were involved right from the start in manufacture of the new product.

Although considerable sums were invested in developing airlaid technology in the 1980s, UPM decided to shed some functions and withdraw from Walkisoft. The company’s special paper unit kept Raflatec, which made adhesive paper laminates, and airlaid materials were sold to America.

After a while, urged on by their customers, the Finns decided to test the viability of local production once again.

TAILORED TRAINING FOR EMPLOYEES

The resurrection of a special field of the forest industry is good news

for a municipality in which a new production plant will generate not only badly needed jobs but also tax revenue. After recession and restruc-turing, the economic area has no shortage of skilled labour. When Lacell advertised for 12 employees to start up production, over 500 applications were received.

One applicant for training is 32-year-old Tero Nakko from Kouvola, who had recently received the first permanent job as training officer at the Sunila pulp mill.

“Redun-dancies were announced at Sunila in early April. Lacell was recruiting at the same time it was decided to close the Sunila mill, so I put in an

application. Employment in the paper business is today much the same as winning the lottery,” says Nakko.

Nakko, who graduated from po-lytechnic with a paper technology degree, has held a variety of fixed-term jobs in his career, including working at UPM’s Kymi mill and at Myllykoski. He also has experience of repairing paper machines.

Regardless of his experience and machine fitter qualifications, Lacell’s future process and shift boss has to study along with the company’s other recruits. A five-month course jointly tailored with Kouvola Vocational Adult Education Centre prepares the recruits to face new challenges. The course is held in the premises of both an equipment manufacturer and a raw material supplier, where the future work can be tried out in advance and in practice. The course also covers occupational health, hy-giene, forklift driving practice, and first aid skills.

www.lacell.fi n

Employment in the paper business is today much the same as winning the lottery

“”

Lacell’s production premises will be completed next spring.

Instructor Sami Vällilä (left) advises Janu Juuma on how to operate a forklift.


Investments should produce a good return on the capital invested. On the other hand,

seed investments in early-stage businesses are considered an important element of the

innovation system, aimed at promoting new business and commercializing new technology.

These goals sometimes conflict with each other.

V i e w p o i n t

that have achieved global success through a large investment. In some cases, abundant financing can also ‘blind’ a young company’s management to real-world truths.

The best overall result is achieved by financing a sufficient number of early-stage companies. Over time, probable winners will more easily be distinguished from probable losers. After that it is much easier to target larger investments at the winners. The flipside of this principle is that an investor must be able to stop financing failing companies in good time, which may well be the most difficult aspect of seed financing.

For early-stage investment to be pro-fitable, it is absolutely essential to have adequate resources for making follow-on investments. A typical mistake is to dedi-cate too large a proportion of funds to an initial investment, so that insufficient funds remain for follow-on investments as the succeeders emerge. Promising companies attract new, and often larger, investors, whose investments then dilute the seed in-vestors’ ownership to the extent that they lose all chance of a profitable return.

DIVERSITY AND CO-INVESTMENT PRODUCE BETTER RETURNS

Adequate diversity is crucial to the econo-mic result of early-stage investment. Many different seed investment schemes have shown that some 10% of investments are successful, of which the best may reach ven-ture capital industry’s top returns. Generally the yield of the whole scheme depends on these winners. For this reason it is impor-tant that there are enough investments in number and that they are diversified into different sectors. Alongside diversity, often

an investor’s joint investments improve the yield of investments. Joint investments inc-rease the opportunities for diversifying into a number of targets in different sectors and bring the sector expertise needed to manage such widely spread investments.

FIFTY A YEAR

Finland’s innovation system generates an average 50 early-stage companies a year that can be targets for venture capital invest-ments. Can this number be increased? That is not an easy question to answer. Growth has been sought through a wide range of initiatives and programmes. Business incubators were established in Finland at the end of the 1980´s, and this activity has since been developed through the Techno-logy Incubator Development Programme (YRKE). Tekes’s From Research to Business Programme (TULI) has promoted the cre-ation of research-based new companies for over a decade. The VIGO Startup Accele-rator Programme now being launched also aims to boost the number of viable investee companies.

It is important to remember that the pro-fit motive drives also seed-stage investment. On the other hand, profit seeking and the aim of the national innovation system to support the development of startups can at times conflict with each other. Careful consideration must therefore be given to when state investment works best and when it is worth using other sources of finance.

For example, soft loans may prove more effective in the capital financing of the ear-liest preseed stage and may well improve the opportunities for actual investors to become involved in the later stages of de-velopment. Public sector investment works

best in co-investments as a spreader of risk alongside private investors.

Experience shows that public sector in-vestments can encourage private investors to invest in early-stage companies.

Henri Grundstén, DirectorDirect investments / Venture Capital n

Seed investing– investments or innovation policy?

Finnish Industry Investment Ltd invested strongly in early-stage companies in the 2004–2007 pe-riod through the Seed Financing Programme that it implemented.

The aim was to correct market deficien-cies in the capital financing of early-stage technology companies, as this was felt to be the largest problem in Finland’s innovation system in the early 2000s.

INVESTMENTS IN 100 SEED COMPANIES

During the three-year Seed Financing Programme, Industry Investment made investments in altogether one hundred early-stage companies. Private investors’ share of each investment was on avera-ge two-thirds and Industry Investment’s one-third. In roughly one-third of all investments our co-investors were priva-te individuals, or ‘business angels’. The programme’s average initial investment was EUR 250,000, with the smallest being EUR 50,000 and the largest EUR 1,000,000. The biggest investment in a single company was MEUR 5.

Investments totalling MEUR 50 have so far been made in the Seed Financing Programme. In the first year 41 investments were made. On average 35 new investments

and 25 follow-on investments were made each year.

Industry Investment’s Seed Financing Programme was based on direct investments together with private co-investors on equal terms and at least one-half of an investment came from private investors. Another prin-ciple was that the private investor takes the lead investor’s role. This model provides two major benefits. Firstly, public capital does not displace private capital and thus does not distort the market. Secondly, the experience and business expertise of private investors is meanwhile transferred to early-stage companies.

At present Industry Investment still has investments in 50 Seed Financing Programme companies. Some MEUR 7 of the invested capital has so far been repaid. Slightly over MEUR 10 has been written off in value reductions. Of the realized exits, about one-half were bankruptcies, one-quarter were at the nominal price, and the remaining quarter were profitable exits.

EFFECTIVE CONCEPT

The selected operating model, based on co-investing with private investors, has proven to be highly effective. Investors interested in early-stage companies usually have moderate amounts to invest, whether

they are private equity funds or private indi-viduals. A reliable and neutral public sector co-investor is a desired partner for sharing investment risks and for increasing the size of the investment made in the company. Also, joint investments offer private inves-tors an opportunity to invest in a number of companies and thus to distribute risk.

It is important for the development of investee companies that investors make their experience, expertise and network of contacts available to the young company.

MILLIONS FOR THE FEW?

It is often claimed that investments in early-stage companies should be focused on financing a few of the most promising companies with sufficiently large invest-ments, measured in millions rather than hundreds of thousands of euros. Experience shows, however, that it is almost impossible to immediately pick future winners from among early-stage companies. Investments in a good team, leading-edge technology and proven market opportunity, even when considered safe, fail at least as often as uncertain small investments pleasantly surprise.

Recent history holds more examples of projects that have failed despite sizeable early-stage investment than of companies


A p p o i n t m e n t

Jani RämöFinancial Manager

Industry Investment’s Controller, Jani Rämö, MSc (Econ), has been appointed

Financial Manager. Rämö started wor-

king in Industry Investment’s Finance,

Administration and Asset Management

team at the end of 2006.

Rämö is currently preparing the

company’s financial statements. Industry

Investment is at present an investor in

over 80 funds. Rämö points out that the

end-of-year reporting of these funds

is in a central position when Industry

Investment prepares its own financial

statements.

The recession makes economic moni-

toring, forecasting and risk management

even more important.

“Industry Investment follows the

International Private Equity and Ventu-

re Capital Valuation Board’s guidelines

for investment valuations, as updated

in Autumn 2009, when making capital

valuations. I would urge fund mana-

gement companies to apply the new

guidelines when defining the fair values

of fund investments and reporting these

values to investors.”

www.industryinvestment.com n

The 2009 corporate image survey was conducted in October among Indus-try Investment’s Finnish and international stake-

holders. A questionnaire was sent to 803 people representing the compa-ny’s main stakeholder groups: port-folio companies, co-investors and other financiers, fund management companies, central government, the business community, interest groups, the media, the innovation field, and other opinion leaders.

Altogether 265 people partici-pated. The response rate, 33%, is considerably higher than average for online questionnaires and one-quar-ter higher than before. The survey was conducted for the fourth time now by Corporate Image Oy, com-missioned by Industry Investment. The previous surveys were in 2006, 2004 and 2001.

“A good And vERy pRoFESSIonAl pARTnER”

The overall image of Industry In-vestment is both positive and better than before: 8.1 on a scale of 4–10.

Power playerin the Finnish investment sectorStakeholders regarded the confidentiality of cooperation, expertise, knowledge of the company

field, and good preparatory work as the best strengths of Finnish Industry Investment Ltd (FII).

Social responsibility, communications and networking were also highly rated.

Portfolio companies, the government owner and the international coopera-tion network gave Industry Invest-ment the highest ratings. Reasons included: “Power player and opinion former in the Finnish investment sector”, “Investor in strategically im-portant growth areas”, “Professional owner with long-term approach” and “Without FII the framework for de-veloping Finnish growth companies would be decisively weaker”.

Industry Investment’s best fea-tures were the confidentiality of cooperation, expertise, knowledge of the company field and daily busi-ness, and good preparatory work. Respondents also regarded these as the most important. “The whole organisation conveys a confidence-inspiring image, as also do the indi-viduals”, “Broad experience of capital investment and a very good view of different industrial sectors’ oppor-tunities”, “Promotes the spread of good practices and distribution of information between players with its way of working”, “Correctly focused critical questions during the proc-ess”, “Has the right attitude”, “Easy to approach”.

Respondents found social re-sponsibility to be one of Industry Investment’s characteristics: “Imple-ments its strategy appropriately and the cornerstone of this strategy is investment that supports society”, “Development of venture capital af-fects our national economy, in the long-term particularly through pro-moting growth entrepreneurship”, “FII helps Finnish companies to suc-ceed internationally. That’s quite a responsibility”, “Highly visible – for instance, as part of the government’s stimulus package”.

Industry Investment was also praised for having an innovative and international approach. “Shapes the national venture capital policy”, “Recently Industry Investment has strengthened its international image, and growth company selection shows an international focus”.

“MAkES An IMpRESSIon”

Almost 90% of respondents said they were familiar or very familiar with Industry Investment’s operations. Respondents said they received most information about Industry Invest-ment during business cooperation, at meetings and from Industry Invest-ment’s Stakeholder Magazine. Also news media, the company’s website and its Annual Report are impor-tant information sources. “Active, streamlined and professional com-munications.”

Wielding influence and network-ing also received good feedback: “I have received numerous new valu-able contacts through FII”, “Industry Investment creates a positive image of venture capital investment in Finland”.

“downSwIng nECESSITATES ThIS”

Stakeholders were most familiar with investment in growth companies, more so than in previous surveys. One-third of respondents already knew about the new MEUR 100 Financ-ing Programme for Stabilisation, and the programme was regarded as very important in the current economic situation. “Stabilisation investment is extremely important for the business community and Finnish society”, “Fits Industry Investment’s profile well”.

Respondents felt that Industry Investment actively develops invest-ment in growth companies and fund operations in Finland, and contrib-utes to the survival of companies through the recession. “Lowers the threshold for other investors to join new projects.”

Stakeholders found some room for improvement, suggesting that Industry Investment take more risk and engage in more public debate than it has so far. “FII’s comments and feedback are valued.”

www.industryinvestment.com nRespondents felt that Industry Investment’s publications are interesting and of a high standard.

Industry Investment’s guest night at the Amos Anderson Museum of Art.

Industry Investment’s corporate image survey 2009:


Text: Asta Sjöblom | Photos: Martti kainulainen/lehtikuva and Juha Salminen

Housing investment on the rise“Housing investment is clearly on the rise.

There’s permanent demand on the leasing mar-

ket for prime one- and two-room apartments,”

says Realia Group’s Senior VP Jani Nieminen.

“At today’s interest rates, housing invest-

ment yields are far higher than interest on bank

deposits. A housing investment also appreciates

in value. Also, it can later be used as student

housing for your children or as a retirement

home.”

www.realiagroup.com

New partners for LiLLi Digital Caretakers

Nintendo gets fitter “We’re experiencing a sort of Nintendo boom,” says AMO

Oy’s Managing Director Peter Åhman. AMO is a part of the

Machinery Group.

“It can be seen in the popularity of the Wii, the Wii Fit

and the small handheld DS console. Nintendo’s indisputable

strength compared to competitors is that Nintendo has

managed to get large target groups interested in video

gaming. Nintendo combines an innovative game and inven-

tive ways of using game devices. ”

“In the sports game, for example, anyone – regardless

of age or fitness – can play tennis by waving a paddle

resembling a TV remote control. Our latest games are the

Wii Fit Plus keep-fit game, the Wii Sports Resort sports game

collection, and the platform video game Wii New Super

Mario Bros. The biggest hit of the year by far is the Wii

operation in which the program is introduced in all training

units of the Finnish Defence Forces, to get conscripts to

exercise more in their spare time.”

www.amo.fi

www.machinery.fi

Holiday Club’s timeshares growing in popularity

The Switch in the largest wind powermarket areas“For The Switch, 2009 was an excellent year. Our

net sales grew by 50%, exceeding our budgeted

MEUR 80,” reports CEO Jukka-Pekka Mäkinen.

“Production will further increase in 2010,

as we’ve already concluded numerous skeleton

agreements. The Switch has opened offices in

Beijing, China, and Barcelona, Spain, so we can

focus on our largest market areas.”

“In Dong Fang, China, a brand-new 1.5

megawatt permanent magnet generator was

successfully installed in the customer’s prototype

turbine.”

www.theswitch.com

Halikko boosts exports to Russia

Finland’s leading provider of leisure

travel services, and Europe’s largest va-

cation timesharer, Holiday Club Resorts

Oy is growing strongly. The financial year

ended September 2009 was one of the

company’s best. Net sales amounted to

MEUR 65 and profit to MEUR 6. Time-

share business grew by 15% in Finland

compared to the previous year.

“Holiday Club has established new

sales offices in Vantaa’s Flamingo cen-

tre, and also at Naantali, Levi, Saimaa

and Ruka. This has generated 32 new

permanent jobs,” says Vesa Tengman,

the Group’s President & CEO.

“We’re seeking growth in central and

southern European resorts. The first re-

sort due for completion in Finland is the

Saimaa Gardens in Joutseno.”

www.hcresorts.com

A newly graduated MSc in engineering understands the interdependence of natural resources, and that the waste of one process is the raw material for another. He or she can contribute to and influence social debate.”

Magnus DiesenProgramme Director Helsinki University of TechnologyTalouselämä magazine2.12.2009

When the M&A tap is turned on again, the next wave of acquisitions may well focus on Brazil.” Tero NummenpääPartner, Finantec-TranslinkArvopaperi magazine 10/2009

In recent years, developed markets have generated over one-half of the world’s economic growth.”

Agnés BelaischThreadneedle’s strategistKauppalehti newspaper 27.11.2009

Clients demand bigger manufacturers, and we’ve decided to respond to the challenge.”

Jukka-Pekka Nikula, CEOEngineering company Komas Group OyOptio magazine29.10.2009

“Halikko Group has focused strongly on boosting its exports

to Russia. As testimony to Halikko Group’s quality and

the trust it enjoys among its customers, we recently won

an order from Russia for two new gas globes. That’s an

excellent follow-on to the large globe project we received

in 2008,” says CEO Jorma Leppänen.

“These gas storage containers are 16 metres in diameter,

and constructed of 44 mm thick material. The end custom-

ers are Russia’s oil and gas giants. Delivery of one globe is

scheduled in 2009, and the other in February 2010.”

www.halikkogroup.fi

N e w s

Digital Caretaker and support services

provider LiLLi Group Ltd has made na-

tional cooperation agreements with

Anttila, Gigantti and DNA, meaning

that altogether 140 new stores will

offer their customers LiLLi services.

“DNA is an important customer

for us. If one of DNA’s customers

has a problem with, for instance, a

computer, we provide him or her with

technical support,” explains LiLLi’s

Managing Director Juha Stenberg.

Microsoft launched the new Win-

dows 7 operating system in October

2009. LiLLi is Microsoft’s partner in

support and installation services for

the launch.

LiLLi is a national Digital Caretaker

chain specialising in installation and

support services for IT and home

electronics products. LiLLi’s services

are sold by Anttila, DNA, Expert ASA,

Gigantti, Kodin Ykkönen, Musta Pörs-

si, NetAnttila, Prisma and Stockmann,

as well as by LiLLi’s customer service.

www.lilli.fi

Mining company Vulcan Resources Ltd has acquired

bankrupted company Finn Nickel Oy’s Savo-Karelia

operations. The acquisition includes the Leppävirta

nickel mine, the Luikonlahti processing plant and

rights to sizeable nickel resources in Outokumpu.

“We’ll start upgrading the Luikonlahti process-

ing plant , and we estimate we’ll start production

within a couple of years. The refurbishment and

upgrade will cost MEUR 6-7,” Jarmo Vesanto, CEO

of Vulcan Resources Ltd’s subsidiary Kylylahti Cop-

per, told Finnish Broadcasting Company YLE.

The processing plant will handle the copper,

cobalt and nickel ores of the Kylylahti mine planned

for Polvijärvi. A decision to construct the mine at

Polvijärvi is expected within six months. Actual

mining will be started at Kylylahti at the earliest

in two years.

www.vulcanresources.com.au

Silicon crystals to JapanOkmetic Oyj and Japanese trading company

Marubeni have signed a MEUR 7 contract, accord-

ing to which Okmetic will supply silicon crystals to

Marubeni during 2010. Thanks to the new order

and improved market conditions, Okmetic will

cancel most of the redundancies announced in

September.

Okmetic supplies silicon crystals to the sensor

and semiconductor industry, and also sells its tech-

nological knowhow to the solar cell industry. The

company’s products are based on hi-tech exper-

tise, innovative R&D, and an efficient production

process. Okmetic

has worldwide

customers, a glo-

bal sales network,

factories in Finland

and the USA, and

manufactur ing

services partners in

Japan and China.

www.okmetic.fi

Vulcan Resources expands operations in Eastern Finland

The concentration plant is located in Luikonlahti, Kaavi, Finland.


Finnish Industry Investment LtdKalevankatu 9 A, P.O. Box 685FI-00101 HELSINKI, FINLAND

Tel. +358 9 680 3680Fax +358 9 612 1680

[email protected] www.industryinvestment.com

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Investing in Growth2010 is Industry Investment’s 15th anniversary

F innish Industry Investment Ltd is a government-owned investment company that promotes Finnish private enterprise,

employment and economic growth through venture capital.

The company invests in venture capital funds and directly in growth companies. Capital investments are needed for financing growth, internationalisation, spin-offs, major industrial investments, and both sector and corporate restructurings. Investment targets are in all sectors. The company co-invests with private investors, limiting its investment to at most one-half of the capital invested and ownership.

Investments amount to MEUR 600

Investments, directly and through funds, in 440 companies

Investor in 85 private equity funds

Публикация Finnish Industry Investment Ltd´s Январь 2010

Economy & Finance

Transcript of Публикация Finnish Industry Investment Ltd´s Январь 2010