“Latvijas gāze” buys back the shares of the company

It is not possible to exercise the voting rights of these shares according to the Commercial Law, which states that a company’s own share does not confer any rights arising from this share, and that it is not taken into account to those rights in determining the quorum of the shareholders. ‘ meet and in the distribution of profits.

It was already reported, on August 7, that the share buyback offer expressed by “Latvijas gāze”, which referred to 18.75% or 7,482,404 shares of the company, is expected to be closed out of the regulated market.

The highest value of the NH sector was 3.35 Euro.

The offer is given to the company’s shareholders who voted against the exclusion of “Latvijas gas” shares from the regulated market, and to shareholders who did not participate in this vote.

The company says that “Rietumu banka” has reserved EUR 25,086,403 ​​in the account of “Latvijas gas” for the purchase of shares.

LETA already announced that the shareholders of “Latvijas gas” support the exclusion of the company’s shares from the stock exchange “Nasdaq Riga” on June 19, 2024, expressing an offer buy back. At the shareholders’ meeting, “Latvijas gāze” was approved as the person who will make an offer to the company’s shareholders to buy back the shares of “Latvijas gāze” they own.

The management committee of the Bank of Latvia authorized “Latvijas gāze” to make a buyback offer for the relevant shares on Wednesday, July 24.

At the same time, Latvijas Banka emphasized that, according to the law, shareholders have the right, but not the obligation, to accept the buyback offer and, accordingly, the shares they own to sell at the tender price. If a shareholder believes that the price is not appropriate, he may not accept the offer and continue as a shareholder.

Previously, on June 28, when it was announced that “Latvijas gas” had submitted an application for permission to make a buyback offer, the stock exchange “Nasdaq Riga” announced that the buyback price of one share – 3.35 euros – mentioned in the share buyback. offer of “Latvijas gas” necessary lower than the last price before the suspension of trading of “Latvijas gas” shares on June 28, when the price was 6.88 euros per share. Currently, the final price for transactions with “Latvijas gas” shares on the stock exchange is 4.3 euros.

It was also reported that in November 2023, members of the board of “Latvijas gas” Aigars Kalvītis, Elita Dreimane and Egīls Lapsalis bought 28.97% of the shares of “Latvijas gas” with the help of the special purpose company SIA “Energy Investments ” have , which was initiated in the management purchasing process. The shares were purchased from the Luxembourg investment fund “Marguerite Gas II”. The transaction was implemented with the support of “Rietumu banka”.

In order to obtain funds for the next stages of the purchase of shares, “Energy Investments” is within the framework of the project financing of the management purchase process, on the shares purchased in the first stage of the purchase of the shareholders send instructions to “Rietumu banka” as the financier who has the right to redeem.

The contract for disposal of a financial instrument provides for conditions of disposal for a period of three years. During the mentioned period, “Rietumu banka” will be an investor and a full shareholder of “Latvijas gas”.

The turnover of the concern “Latvijas gas” last year was 159.819 million euros, which is 4.4 times less than in 2022, when the prices of natural gas increased significantly, and the company also suffered a loss of 56.911 million euros compared to the profit of the previous year.

The largest shareholders of “Latvijas gas” are the Russian “Gazprom” (34%), “Rietumu banka” (28.97%), the German company “Uniper Ruhrgas International GmbH” (18.26%) and SIA “Itera Latvija” (16%). .