INVL Asset Management, the leading alternative asset manager in the Baltic States, successfully secured EUR 27.3 million of investor commitments for the INVL Defence Infrastructure Fund I, which will invest in the development of part A of phase II of the Rudninkai Military Town project.
The commitments were made by more than 100 investors from all three Baltic countries, including institutional investors as well as private individuals and companies in the Baltics investing through the INVL Family Office. The total amount raised exceeded the initial target of EUR 26 million.
"This step completes an important phase of the project - raising the equity capital needed for the investments. We are delighted that both institutional and private investors from all the Baltic countries have decided to join the project. Thanks to the strong investor interest, fundraising was completed even earlier than planned. Encouraged by that show of trust, we are taking the next steps in the successful development of the Rudninkai Military Town," says Ignas Šablevicius, Infrastructure Project Manager at INVL Asset Management.
"In dealing with investors, we sensed that this was more than a financial decision for them. Many of them saw participating in this fund as a value choice and a chance to have a real, tangible impact on their country's future. We are gratified by how the community came together. That shows that both businesses and private individuals clearly understand their responsibility and are ready to be equal partners in strengthening the country," notes Asta Jovaišiene, the head of the INVL Family Office.
According to Ignas Šablevicius, the team at the fund - which is the project's financial partner - is currently working with the other partners to negotiate with banks regarding loans to the company implementing the project; this stage is expected to be completed by the end of the second quarter of 2026.
Preparatory work is underway at the Military Town
Work on part A of phase II of the Rudninkai Military Town is being carried out by Rudina UAB, a company established specifically for that purpose by a consortium of the construction companies Conres and Fegda and a fund established by INVL Asset Management for this purpose.
Since January, Conres and Fegda have been doing preparatory work. Meanwhile, international consultants are conducting a comprehensive legal, financial and technical assessment of the project to ensure that work proceeds in smooth and high-quality manner.
"This project, which is extremely important for the security of Lithuania and the entire region, is currently not just in the documentation and design phase; we have also begun work to prepare the construction site. So far, all processes are running smoothly and on schedule. The highly successful fundraising process has once again demonstrated the project's importance and given us a mandate of trust from investors, which we greatly appreciate," stresses Ernestas Šeženis, the CEO of Conres, the consortium's general contractor.
The project is being carried out as a public-private partnership (PPP) where private equity and bank loans finance the design and construction of facilities, which the state then takes over and gradually repays the costs of the infrastructure and its maintenance over a period of 15 years.
Part A of phase II of the project involves building works on a 52-hectare site. That includes the construction of 27 structures tailored to the needs of the military with a total area of 94,000 square metres. The area will also feature a parade ground, parking areas for vehicles and military equipment, and a helicopter zone.
About INVL Asset Management
INVL Asset Management is a part of Invalda INVL, the leading Baltic asset management group, which currently employs more than 150 employees. The Invalda INVL group manage or have under supervision more than EUR 2.1 billion of assets across multiple asset classes including private equity, forests and agricultural land, renewable energy, real estate as well as private debt. The group's scope of activities also includes family office services in Lithuania, Latvia and Estonia, management of pension funds in Latvia, and investments in global third-party funds. For further information, visit www.invl.com/en/.
Further information:
Ignas Šablevicius
Infrastructure Project Manager at INVL Asset Management
ignas.sablevicius@invl.com
