"The funds raised from the IPO will be used to open the first six Kalve cafe-stores in Estonia and Lithuania as early as 2025 and to expand beyond the Baltic states in 2026. The funds will also allow for the streamlining and expansion of production processes and the purchase of equipment, diversifying the portfolio of coffee machine suppliers," said the company.
"Since Kalve was founded, we have shown steady growth, increasing the Company's turnover from EUR 0.35 million to EUR 2.49 million in four years," said Gatis Zēmanis, co-founder and board member.
Overall global demand for coffee is growing, particularly in the specialty coffee segment.
"This is a very positive trend and also good for the Company, given that KALVE wants to address the lack of availability in the premium coffee market by providing customers with a unique specialty coffee experience. The fact that demand continues to grow is also evidenced by the volume of KALVE coffee sold, with almost 83 tonnes sold last year, an increase of 25% compared with 2022. By ensuring a sustainable, affordable, and transparent business, we are proving that we can make the industry better and be profitable simultaneously," said Zēmanis.
Last year the company had turnover of EUR 2.49 million euros, up 38% compared to 2022, and a net profit of 53,000 euros.
It is planned that during the initial public offer, the company will issue new shares, which will be offered to investors in Latvia and Estonia. An investor loyalty program is also planned.
