Month: April 2024

Eco Baltia’s second bond issue listed on the Nasdaq Baltic First North market

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On 25 April, the second bond issued by the parent company of the largest environmental resource management and recycling group in the Baltics, AS Eco Baltia, was listed on the Nasdaq Baltic First North alternative market. As a result, the total value of the bonds listed by Eco Baltia on First North has now reached 18 million euros.

In addition to the EUR 8 million of unsecured Eco Baltia bonds already included in First North’s bond list, a further EUR 10 million of unsecured bonds with a nominal value of EUR 1,000 per bond, a fixed annual interest rate of 9% and a coupon payable twice a year have been added. The bonds mature on 2 November 2026.

“We are pleased that the stock exchange can be a successful tool for the development of companies in Latvia, as demonstrated by Eco Baltia’s second successful listing on the Baltic First North market. The capital market is open to entrepreneurs to increase the value of their business through alternative financing. We wish Eco Baltia every success in its future growth,” said Liene Dubava, Head of Nasdaq Riga.

The inclusion of Eco Baltia’s bonds in First North follows a private placement to Latvian, Estonian and Lithuanian investors in November last year. Total demand for the bonds exceeded the offer by more than 1.7 times and attracted more than 100 private and institutional investors.

“We are grateful to our investors for the confidence they have shown in the Group’s growth. In recent years, we have been able to implement significant activities to develop Eco Baltia in the international market. We have achieved the Group’s expansion not only in the domestic market, but also through acquisitions in Lithuania and the Czech Republic. The funds raised from investors have also helped us to develop the Polish market, where last year we acquired a 70% stake in Metal-Plast, Poland’s largest processor of PVC window and door profiles, together with one of our shareholders, INVL Baltic Sea Growth Fund, a private equity fund in the Baltic States. We continue to work on Eco Baltia’s strategic development goals to increase our contribution to the development of the circular economy internationally,” says Māris Simanovičs, Chairman of the Board of Eco Baltia. 

Eco Baltia acquires 40.4 % stake in road maintenance company in Latvian city Daugavpils

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Eco Baltia AS (JSC), the largest group of environmental resource management and recycling companies in the Baltics, has acquired a 40.4% stake in the Latvian road maintenance company (JSC) Daugavpils specializētais autotransporta uzņēmums (Daugavpils Spec. ATU).

The shares owned by Daugavpils City Council and the Latvian state were acquired by Eco Baltia vide, a wholly owned subsidiary of Eco Baltia group, as part of the privatisation. The remaining 59.6% of the shares are held by private individuals.

Following the acquisition of a minority stake, we will apply for permission to acquire up to 100 per cent of Daugavpils Spec. ATU shares. This is an important step to expand Eco Baltia vide’s services regionally, as Daugavpils is the second largest city in Latvia. This is the second acquisition of Eco Baltia vide in the street and road maintenance business – in 2023 it acquired Pilsētas Eko Serviss, which provides urban environment management in the Latvian capital Riga.

Jānis Aizbalts, Chairman of the Board, Eco Baltia vide

In 2023, Daugavpils Spec. ATU had an unaudited turnover of EUR 5.5 million and employed 110 people.

After the transaction, Daugavpils Spec. ATU will continue to provide its daily services as usual. No changes are planned in the existing cooperation agreements and arrangements for customers, partners and employees of the parties involved in the transaction.

About JSC Daugavpils specializētais autotransporta uzņēmums:

Daugavpils specializētais autotransporta uzņēmums was founded in January 1973. The company provides waste management in Daugavpils, cleaning and maintenance of city streets, as well as transportation services.

About Eco Baltia vide Ltd:

Eco Baltia vide is an environmental management company providing a wide range of environmental management services – municipal and sorted waste collection, packaging waste management, construction and bulky waste management, area cleaning and road management, as well as various seasonal services. In 2023, Eco Baltia vide closed the year with a unaudited turnover of almost EUR 54 million.

Changes in the Management Board of PET Baltija

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In order to continue the development of the PET bottle recycling sector in Latvia and on the international market, as well as to strengthen the company’s management, on 10 April this year there will be changes in the Management Board of PET Baltija AS (JSC), one of the companies of the largest environmental resource management and recycling company in the Baltic States, Eco Baltia AS (JSC). By agreement of both parties, the employment relationship will be terminated and the position of a member of the Board will be vacated by the current plant director Dagnija Ļevčenoka, whose day-to-day functions will be delegated to the existing Board.

Jūlija Zandersone, Chairperson of the Board of PET Baltija AS: “We are grateful to Dagnija for her invaluable long-term and professional contribution to the development of PET Baltija. We are now moving the company towards an unprecedented development, also in the international market. This will also lead to changes in the company’s management. I am convinced that Dagnija’s skills and extensive experience will open opportunities for new career highlights, so on behalf of the entire PET Baltija team, we thank her for the cooperation and wish her success in her future professional career”.

The Board of PET Baltija will continue to be chaired by its current Chairperson, Julia Zandersone, as well as Board members Matīss Leitis and Jekaterina Vasiļjeva. A decision will be taken in the near future on possible additions to the Board, details of which will follow.

Dagnija Ļevčenoka has been with PET Baltia since 2008, starting her career as Chief Accountant and later working as Financial Analyst, Quality Management System Manager and Production Department Manager. In 2020, Ms Ļevčenoka was appointed Plant Director, and in September 2021 she was also appointed Member of the Management Board.

About “PET Baltija”

PET Baltija is one of the largest PET recyclers in Northern Europe and the largest PET recycler in the Baltic region operating in Latvia. It is owned by Eco Baltia, the largest environmental and waste management group in the Baltics. Eco Baltia offers full-cycle waste management solutions, from waste collection and sorting to secondary raw material logistics, wholesale and raw material processing.

PET Baltia recycles used polyethylene terephthalate (PET) bottles and is an industry leader in the Baltic States. The recycling portfolio includes high quality PET flake pellets (including those suitable for food packaging), almost 100% of which are exported.