The special purpose company of the board members of AS “Latvijas gāze” SIA “Energy Investment” and the Lithuanian company “Haupas” have purchased the shares of “Latvijas gāze” previously owned by the Russian company “Gazprom” from the Omani company “Qudrah International SPC”, the agency LETA was informed by “Latvijas gāze”. representatives.
According to “Firmas.lv” data, the real beneficiary of “Qudrah International SPC” is Kyrgyz citizen Svetlana Solomina.
The representatives of “Latvijas gas” explained that both transactions – “Gazprom” transaction with “Qudrah International SPC”, as well as “Qudrah International SPC” transaction with “Energy Investments” and “Haupas” – are independent economic transactions, where the beneficiaries are only parties to the particular transactions.
“Gazprom” agreed to sell its shares of “Latvijas gas” to a company other than “Energy Investments”. Therefore, the factor of possible restrictions on money transfers in the context of European Union sanctions is only an additional consideration, not a decisive prerequisite for the way “Energy Investments” could continue the management buyout process,” the company added.
“Firmas.lv” shows that “Qudrah International SPC” acquired a 34% stake in the capital of “Latvijas gas” at the end of October this year. However, according to the representatives of “Latvijas gas”, the relevant information “can be considered as historical data, because another transaction took place on November 8, 2024”.
It has already been announced that “Energy Investment” has purchased 27.85% of the shares of “Latvijas gas” and “Haupas” – 6.15%. According to “Firmas.lv” data, 70% of the capital of “Energy Investment” is owned by Aigars Kalvītis, while 15% each belongs to Egīls Lapsali and Elita Dreimanes.
In the press release, Kalvītis stated that a significant step has been taken for the further consolidation of “Latvijas gas” shares in the management buyout process.
He also mentioned that the search for solutions for the buyback of shares from the two remaining significant shareholders – the German company “Uniper Ruhrgas International” and SIA “Itera Latvija” continues.
Currently, “Uniper Ruhrgas International” owns 18.26%, and “Itera Latvija” – 16% of the shares of “Latvijas gaze”.
It has already been reported that in the fall of 2023, “Energy Investments” purchased 28.97% of the shares of “Latvijas gaze” in the management buyout process. The shares were purchased from the Luxembourg investment fund “Marguerite Gas II”.
However, in order to find funds for the next stages of the purchase of shares, within the framework of the buyout process, the management of “Energy Investments” expropriated the relevant shares of “Latvijas gas” with the right of repurchase to “Rietumu banka”. The contract provides for redemption conditions for a period of three years. During the mentioned period, “Rietumu banka” is an investor and a full shareholder of “Latvijas gas”.
It was also announced that the turnover of the “Latvijas gas” concern last year was 159.819 million euros, which is 4.4 times less than in 2022, when natural gas prices experienced a huge increase, and the company also suffered a loss of 56.911 million euros compared to the profit of the year before.
The share capital of “Latvijas gas” is EUR 55.86 million. “Latvijas gāze”, according to the information mentioned on the company’s website, provides natural gas wholesale and sales to business customers in Latvia, Estonia, Lithuania and Finland. The company also sells natural gas to households in Latvia.
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Oh, let me tell you, it seems like “Latvijas gāze” is just a game of musical chairs with shares! You’ve got board members, companies shifting ownership, and the occasional Russian interloper—it’s practically a soap opera but with more gas and fewer love triangles!
So, picture this: the board members of AS “Latvijas gāze” decide to team up with some Lithuanian company called “Haupas.” It sounds like a character from a children’s book, doesn’t it? Well, they’ve taken it upon themselves to buy the shares that Gazprom initially owned. And guess who they bought those shares from? An Omani company called “Qudrah International SPC.” Why do I feel like I just read the world’s smallest map of corporate intrigue?
And just to make it even more thrilling, our friend Svetlana Solomina from Kyrgyzstan is lurking in the shadows as the real beneficiary of Qudrah International. Does this sound like an episode of “Who Wants to Be a Millionaire?” where you can’t phone a friend because they’re all busy trying to hide from international sanctions? “I’ll take ‘How to purchase gas stocks at the risk of sanctions’ for 400, Alex!”
Latvijas gāze insists that all these transactions were completely above board, just independent economic activities with no strings attached. Right, sure—because when you’re dealing with shares involving Gazprom and a mysterious Omani company, everything is as straightforward as a IKEA instruction manual! You just know that behind the scenes, they’re all whispering about money transfers and compliance like it’s the secret handshake club of elite investors.
Now, let’s talk numbers because that’s where it really gets spicy. So far, “Energy Investments” has snagged 27.85% of the shares, and “Haupas” is prancing in with a respectable 6.15%. Meanwhile, Aigars Kalvītis, who seems to be the head honcho, is pulling the strings with 70% ownership of “Energy Investments.” Meanwhile, everyone’s frantically working on acquiring the leftovers from “Uniper Ruhrgas International” and “Itera Latvija.” Can’t we just order some gas like pizza? “I’ll have one large gas share with a side of dividends, please!”
Oh, and did I mention “Rietumu banka”? They’ve jumped in as the investor and full shareholder of Latvijas gāze too! It’s like a giant corporate potluck where everyone’s bringing their own stakes, and I can only imagine the awkwardness if someone forgets to RSVP.
And here’s the kicker. Last year, Latvijas gāze reported a turnover of 159.819 million euros, which sounds impressive until you find out it’s about 4.4 times less than the year before! I mean, they took a financial hit that makes my gym membership fees look like chump change. They’ve gone from a profit to a loss quicker than I can finish a bag of chips during a binge-watch session on Netflix!
In conclusion, if you think your family reunions are complicated, just take a look at the saga of “Latvijas gāze.” Corporate buyouts, strategic purchases, and an international dose of drama—it’s like a reality show that nobody asked for but we’re all secretly hooked on. So grab your popcorn, folks; the business world has never looked so entertaining!
The board members of AS “Latvijas gāze” through their special purpose company, SIA “Energy Investment”, in collaboration with the Lithuanian firm “Haupas”, have successfully acquired the shares of “Latvijas gāze” that were previously held by the Russian energy giant “Gazprom”. This acquisition occurred through a purchase from the Omani entity “Qudrah International SPC”, as confirmed by representatives from “Latvijas gāze”.
According to data from “Firmas.lv”, the real beneficiary of “Qudrah International SPC” is identified as Kyrgyz citizen Svetlana Solomina, highlighting a complex ownership structure within the transaction.
The representatives of “Latvijas gāze” clarified that the two transactions – the sale of shares from “Gazprom” to “Qudrah International SPC” and subsequently from “Qudrah International SPC” to “Energy Investments” and “Haupas” – were entirely independent economic transactions, each benefitting only the parties involved.
“Gazprom” agreed to divest its shares of “Latvijas gāze” to a company other than “Energy Investments”. As such, while the European Union’s sanctions on money transfers are a pertinent consideration, they did not impede “Energy Investments” in pursuing its management buyout aims,” the company added.
It has been reported on “Firmas.lv” that “Qudrah International SPC” secured a 34% stake in “Latvijas gāze” by the end of October this year. However, representatives of “Latvijas gāze” have indicated that this information is now considered historical, given that another significant transaction occurred on November 8, 2024.
Recent reports confirmed that “Energy Investment” has obtained 27.85% of the shares of “Latvijas gāze”, while “Haupas” holds a stake of 6.15%. According to “Firmas.lv”, the ownership structure of “Energy Investment” shows that 70% is held by Aigars Kalvītis, with Egīls Lapsali and Elita Dreimanes owning 15% each.
In a press release, Kalvītis remarked on the momentous step taken towards the further consolidation of “Latvijas gāze” shares in the ongoing management buyout process. He emphasized that efforts are ongoing to negotiate solutions for buying back shares from the two remaining major shareholders – the German firm “Uniper Ruhrgas International” and SIA “Itera Latvija”.
At present, “Uniper Ruhrgas International” maintains an 18.26% share in “Latvijas gāze”, while “Itera Latvija” controls 16%. Furthermore, it was reported that in the fall of 2023, “Energy Investments” procured 28.97% of “Latvijas gāze” shares as part of the management buyout from the Luxembourg investment fund “Marguerite Gas II”.
To finance the subsequent stages of their share acquisition, the management of “Energy Investments” has transferred the corresponding shares of “Latvijas gāze” to “Rietumu banka”, retaining the right of repurchase. This arrangement outlines conditions for redemption over a three-year period, during which “Rietumu banka” assumes the role of investor and full shareholder of “Latvijas gāze”.
Recently, it was announced that the turnover of the “Latvijas gāze” group for the previous year reached €159.819 million, an alarming decline of 4.4 times compared to 2022, when gas prices surged dramatically. Last year, the company also recorded a loss of €56.911 million, contrasting sharply with the previous year’s profits.
The share capital of “Latvijas gāze” stands at €55.86 million. As detailed on the company’s website, “Latvijas gāze” provides wholesale natural gas and sales to business customers not only in Latvia but also in neighboring Estonia, Lithuania, and Finland. Additionally, the company serves residential households across Latvia.
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How does the complex ownership structure involving ”Qudrah International SPC” and its beneficiaries impact the corporate governance of AS “Latvijas gāze”?
It seems there’s been quite a whirlwind of activity surrounding AS “Latvijas gāze,” with a complex landscape of share acquisitions and corporate maneuvering taking the spotlight. Here’s a clearer breakdown of the significant developments:
1. **Ownership Shake-Up**: Through their special purpose vehicle, SIA “Energy Investments,” the board of AS “Latvijas gāze” has strategically teamed up with the Lithuanian firm “Haupas.” Together, they successfully acquired shares that had previously been owned by the Russian energy giant Gazprom, buying them from the Omani entity “Qudrah International SPC.”
2. **Beneficial Ownership**: The intriguing twist to this transaction is that the real beneficiary of “Qudrah International SPC” is identified as Svetlana Solomina from Kyrgyzstan. This adds a layer of complexity to the ownership narrative and raises questions about the international intertwining of corporate interests.
3. **Transaction Independence**: Representatives from “Latvijas gāze” have asserted that the sales—first from Gazprom to Qudrah and then to Energy Investments and Haupas—were entirely independent economic transactions. They claim that these deals benefited only the parties involved, despite the geopolitical implications of working with entities connected to Russia during sanctions.
4. **Current Share Distribution**: As of recent reports, “Energy Investments” has acquired 27.85% of shares in “Latvijas gāze,” while “Haupas” holds a 6.15% stake. In terms of the ownership structure within “Energy Investments,” Aigars Kalvītis stands out as the majority holder with 70% ownership, whereas Egīls Lapsali and Elita Dreimanes each hold 15%.
5. **Future Aspirations**: Kalvītis has announced ongoing efforts to negotiate the acquisition of shares from the remaining significant shareholders—German company “Uniper Ruhrgas International” (holding 18.26%) and SIA “Itera Latvija” (with a 16% stake).
6. **Financial Performance**: Turning to financial performance, “Latvijas gāze” faced a notable decrease in turnover last year, dropping to 159.819 million euros, a staggering 4.4 times less than the previous year. This decline was compounded by a loss of 56.911 million euros, contrasting sharply with the profit reported in the year prior.
7. **Role of Rietumu Bank**: Additionally, Rietumu banka has emerged as a significant investor in this saga. They now hold shares of “Latvijas gāze” as part of a transaction that grants them rights of redemption over the shares during a specified period.
the unfolding saga of ”Latvijas gāze” appears to be a captivating blend of corporate strategy and international intrigue, akin to a business drama series where the stakes are financial and geopolitical, and every episode brings new twists in ownership and strategy.