14 Dec 2020
EUR 56.10 million
|Date of agreement:||3 Aug 2020|
|Amount in EUR:||EUR 60 million|
|NACE sector / loan type:||Other business activities|
The loan has been provided to the Danish hearing healthcare company Demant A/S to mitigate the unprecedented negative impact the COVID-19 pandemic has had on the hearing market.
The William Demant group manufactures and sells hearing devices, hearing implants, diagnostic instruments and personal communication solutions. Demant was affected by the coronavirus outbreak, as the imposed restrictions almost completely eliminated the ability to service patients, considering that the company’s key customers are the population above 65 years of age.
The negative impact of the coronavirus is likely to be temporary, as no changes to the fundamental drivers for hearing healthcare products and services are foreseen.
Demant is an existing customer of the Nordic Investment Bank, with three loans financing the company’s R&D operations agreed since 2015.
Demant A/S is an internationally leading company in the field of modern hearing solutions. The company is owned by William Demant Holding A/S. Listed on the Nasdaq Copenhagen since 1995, the group develops and manufactures hearing aids, diagnostic instruments and audiometric equipment to aid personal communication. At the end of 2019, Demant globally employed 15,834 people.
The loan allows NIB to fulfil its role in supporting member countries and businesses during the crisis caused by the COVID-19 pandemic. Demant plays an important role in global hearing healthcare and the Nordic MedTech cluster. The loan aims to support the company in coping with the current decrease in demand for their products and to continue their operations.
The loan aims to support Demant during a period of demand disruptions due to the COVID-19 pandemic. As such, a sustainability review is not applicable.