Ammunity Secures €6.3 Million in Funding from BluOr Bank to Expand Production

July 02, 2025

Latvian company SIA “Ammunity” — the country’s leading manufacturer of high-precision small-caliber ammunition — has secured €6.3 million in funding from BluOr Bank to support its ongoing development and expansion of production capacity. The funding will be used both to refinance existing liabilities and to strengthen the company’s working capital, enabling a faster response to rapidly growing demand for defense-related products.

A key component of the transaction is a guarantee provided by the Latvian development finance institution ALTUM. This support structure allows for more effective risk-sharing between the parties and promotes the growth of Latvia’s strategically important — though still emerging — defense industry.
Ammunity is currently the only manufacturer of high-precision small-caliber ammunition in Latvia. With over ten years of successful operation in the defense sector, the company also owns a ballistic testing laboratory and maintains specialized infrastructure for storing strategic materials.
In 2024, the company’s turnover reached €9.33 million — an increase of 80.6% compared to the previous year. For 2025, Ammunity projects revenue to exceed €14 million. The newly secured funding will enable the company to further expand production volumes, implement technological innovations, and enhance its quality control systems.

Beāte Krauze-Čebotare, Member of the Management Board of Ammunity, noted: “We are sincerely grateful to the BluOr Bank team for their in-depth understanding of our business specifics, thorough financial analysis, and prompt decision-making. In today’s volatile geopolitical environment, the ability to structure and execute financing quickly and reliably is of great value.”
Dmitrijs Latiševs, Chairman of the Management Board of BluOr Bank, stated: “The development of Latvia’s defense industry is strategically important not only for national security but also for long-term economic resilience. We are proud to support an innovative and export-oriented manufacturer with a clear growth vision. This project also demonstrates our bank’s commitment to responsible and long-term partnerships within the defense sector.”
Reinis Bērziņš, Chairman of the Management Board at ALTUM, emphasized the role of institutional instruments: “In a time of global economic uncertainty, development banks such as ALTUM play a critical role. Our financial instruments, co-financed by the European Regional Development Fund, help bridge the gap between the needs of businesses and the capabilities of commercial lenders. They reduce risk for banks and offer entrepreneurs more favorable loan terms — including lower interest rates and higher loan amounts.”
The funding from BluOr Bank follows a series of strategic moves by Ammunity in recent months. In June 2025, the company signed an agreement with Scandinavian Astor Group AB (SAG) — a leading Nordic defense technology group — under which SAG will acquire 100% of Ammunity’s share capital. The transaction is currently in its finalization stage.
The investment process has taken place in close coordination with the Latvian Ministry of Defence, which highlights the strategic importance of this deal for both national and regional security.
Following the transaction, Ammunity will continue to operate under its current name as an independent entity, with production remaining and expanding within Latvia. Beāte Krauze-Čebotare will continue to serve on the company’s management board.
The company emphasizes that collaboration with Scandinavian Astor Group will significantly increase its production capacity, enhance its technological capabilities, and strengthen its position in international markets.