Multitude Bank Partners With HeavyFinance for €14M in Loans to Sustainable Agricultural

Multitude Bank is pleased to announce its partnership with climate technology company HeavyFinance. Through a debt-asset securitisation deal, Multitude Bank will invest €14 million in loans to small- and medium-sized agricultural businesses to support their transition to sustainable practices. The investment is secured by a first-of-its-kind portfolio guarantee of up to €10.5 million provided by the European Investment Fund (EIF). Multitude Bank plans to begin investing in loans originated by HeavyFinance in December 2024, with full deployment of the €14 million expected by the end of 2025. 

Small and medium-sized farmers in the EU often face challenges accessing financing that could help the transition to more sustainable farming practices. Conventional banks have difficulty with small business loans to farmers, which is where HeavyFinance comes in. The new investment from Multitude Bank will ensure that HeavyFinance is able to continue supporting smaller agricultural businesses while driving forward sustainability goals in the EU.  

“We are proud to announce a landmark partnership with HeavyFinance, which underscores our commitment to delivering innovative, solution-oriented financial services. This initiative is a testament to our dedication to addressing climate change and supporting impactful sustainability efforts,” said Alain Nydegger, CEO of Wholesale Banking at Multitude. “We want to illustrate here very clearly that sustainability can be defined through profitable business practices.” 

“Farmers are front-line fighters when it comes to accelerating the transition to regenerative agriculture. They understand better than anyone how to enact sustainable farming practices, but they also know the pain points of doing this profitably. This partnership between HeavyFinance and Multitude Bank will help hundreds of small and medium-sized farms advance their sustainability journey,” said Laimonas Noreika, CEO of HeavyFinance. 

“We are honoured to partner with HeavyFinance, a purpose-driven climate tech company dedicated to transforming agriculture and achieving their ambitious goal of removing one gigaton of CO2 emissions by 2050. This collaboration not only furthers HeavyFinance’s growth in customer base and geographic reach but also amplifies awareness of ESG priorities,” said Antti Kumpulainen, CEO of Multitude Bank. 

Multitude’s Wholesale Banking division continues to deliver robust performance, showcasing significant growth in 2024. Established as an independent unit in January 2024, it has quickly positioned itself as a high-growth enabler in the institutional finance space. The Wholesale Banking portfolio grew significantly year-on-year, rising by 179% from €40.5 million at the end of 2023 to €112.9 million as of Q3 2024.Currently active in seven European countries, the division serves a diverse client base, including Fintechs, SMEs, and payment institutions. It has also expanded its payment solutions, enabling real-time payments in SEK and EUR for institutional clients.