Month: November 2022

The Board of AS Eco Baltia, the largest environmental and waste management group in the Baltics, will further operate in the composition of three individuals. As of 11 November, this year, Anita Saulīte will cease her work in the Board of AS Eco Baltia and several group subsidiaries. After 10 years in the group companies, she accepted new professional challenges.

The Supervisory Board ofAS Eco Baltia has taken a decision that a new board member is not to be sought at the moment, thus, the current Board will continue its work composed of three individuals. Chairman of the Board is Mr Māris Simanovičs, Board Members – Ms Santa Spūle, Chief Financial Officer, and Ms Sigita Namatēva, Chief Legal Officer.

 “On behalf of all the colleagues at AS Eco Baltia we say many thanks to Anita for her long-time contribution to the company’s operational management, efficiency improvement, digitalisation of processes and arrangement of IT systems, as well as strengthening of LEAN culture. Working closely as a team, we have achieved high business results and created strong foundations which enable us to convincingly keep building further growth of the group companies, thus promoting sustainable and efficient business model. We wish Anita success in further professional growth, which goes along with her high degree of professionalism, enthusiasm, energy and creation of values in everything she does”, says M. Simanovičs.

So far, A. Saulīte was an official also in several other AS Eco Baltia subsidiaries such as SIA Nordic Plast and AS Latvijas Zaļais punkts. Composition of officials at these companies will also change gradually according to the further decisions by the Supervisory Board.

Shareholders of AS Eco Baltia are UAB BSGF Salvus, subsidiary of INVL Baltic Sea Growth Fund (52.81%), EBRD (30.51%) and the company management (16.68%).

AS Eco Baltia is the largest environmental and waste management group  in the Baltics in terms of turnover ensuring full waste management circle from waste collection and sorting to secondary logistics, wholesale and recycling of raw materials.

In 2021, combined (pro-forma) sales of Eco Baltia group reached approximately 150 million euro, which was two times higher than in 2020, when this indicator was 75 million euro. This was partially enhanced by the acquisition of the leading Lithuanian waste manager Ecoservice in August 2021. In September 2022, the group expanded further, with its PET recycling arm AS PET Baltija, one of the largest PET recyclers in Northern Europe, completing the acquisition of a leading Czech fibre producer TESIL Fibres.

The group companies employ more than 2,200 employees in Latvia, Lithuania, and Czech Republic. Its leading companies are AS PET Baltija, SIA Eco Baltia vide, AS Latvijas Zaļais punkts, SIA Nordic Plast, Sigulda municipal SIA JUMIS, Czech TESIL Fibres and Lithuania-based UAB Ecoservice.  

In order to expand its activities and continue its development, the environmental management company SIA Eco Baltia vide plans to acquire the road and street maintenance company SIA Pilsētas Eko Serviss. The purchase agreement concluded by the parties, the execution of which requires a merger approval of the Competition Council, provides for the acquisition of 100% in the SIA Pilsētas Eko Serviss, SIA PES serviss and SIA B 124. The documents necessary to complete the transaction have been prepared for submission to the Competition Council. The process is expected to be concluded later this year.

Upon conclusion of the transaction, Pilsētas Eko Serviss will become part of AS Eco Baltia group’s companies in the environmental management segment specialising in street and road maintenance. At the same time, it should be stressed that no changes are planned to the existing cooperation agreements and arrangements for both parties’ clients, partners and employees. If the merger is cleared by the Competition Council by then, the acquisition will be completed at the end of December 2022.

“The last two years of Eco Baltia’s environmental management segment’s activities should be characterised by dynamic growth. During this period, we have not only implemented internal consolidation, but also acquired several companies within the framework of the segment to increase our competitiveness, find new opportunities and become a leader in the Baltics. While our subsidiary Ecoservice is one of the market leaders in road and street maintenance in Lithuania, in Latvia we are planning to develop this service more rapidly with the acquisition of Pilsētas Eko Serviss, promoting synergies also with our Lithuanian subsidiary. Pilsētas Eko Serviss has a very extensive and successful experience in the sector, the necessary technical equipment and a professional team of employees, which creates a very good platform for further growth already as being a part of the environmental management segment of Eco Baltia”, says Jānis Aizbalts, Chairman of the Board of Eco Baltia vide and Head of the Environmental Management at Eco Baltia.

Pilsētas Eko Serviss has been on the market for almost 20 years, and we are pleased to call ourselves one of the leading providers of street and road maintenance services in the Riga and the Greater Riga region. We are happy that the company will be able to continue its development and make new investments in the future, but already as a subsidiary of Eco Baltia vide. For our existing clients and employees, these changes will also be beneficial, because being part of a larger group will allow us to plan our investments in future development on a broader scale and with the involvement of the expertise of the entire Eco Baltia, says Alvis Krauklis, Member of the Board and co-owner of Pilsētas Eko Serviss.

Vytautas Plunksnis, Partner at INVL Baltic Sea Growth Fund and Chairman of the Supervisory Board of Eco Baltia: Our strategic objective to develop Eco Baltia as a strong regional leader focusing on sustainable environmental services and recycling is already delivering results – competitiveness and efficiency of our companies are growing, as are consolidated revenue. By expanding our offer in the environmental management segment, we create new value both for customers, employees and investors.

Financing of the transaction is planned by attracting bank funding, and the parties have agreed not to disclose the value of the transaction publicly.

Pilsētas Eko Serviss offers such services as street and road maintenance, water drainage system maintenance and repair works, as well as equipment rental. The company was founded in 2003, and now it is owned by several individuals. In 2021, revenue of Pilsētas Eko Serviss reached 5.7 million euro. The company employs around 80 people.