French tableware manufacturer Arc has secured financial backing from its major shareholder and from its partners.
Its key shareholder will inject €20 million into the group, demonstrating its confidence in the glassmaker.
The Arques, France-based company has also secured €108 million in loans from the French state, the regional authority as well as the local community, as part of measures taken by the French public authorities to help businesses affected by the pandemic.
It has also reached an agreement regarding its Russian production subsidiary OSZ, which will continue to operate under the distribution partnership and long-term licensing agreement with Arc Group.
OSZ will continue to produce for the domestic market, including Luminarc branded products under a licensing agreement.
For its part, Arc group will continue to export its products from France, the Emirates and China to the Russian market, via its distribution subsidiary ADR.
The group said the long term sustainability of the business was now enhanced thanks to these agreements and it would allow Arc to continue its transformation programme which started in 2019.
The transformation included renovation of the furnaces and automation of its packing area.
The group’s performance indicators were in line with the targets set for 2019 and 2020 before the Covid-19 crisis and the effects of containment, which have been particularly intense in the food service sector.
Nick Hodler, CEO, said: "Thanks to the trust, commitment and support of our shareholders and partners, the group will be able to continue its trajectory of transformation, modernization, improvement of working conditions and optimization of services for its customers.”