The company has today signed an agreement regarding the purchase of all shares of a company that owns forest and forest land in Lithuania. It will be the first investment in forest properties in Lithuania that Latvian Forest Company AB makes. Latvian Forest Company AB values forest and agricultural properties at EUR 7.5 million. The final purchase price for the company’s shares will be stated in the value of the assets, plus/minus adjusted working capital as of the date of acquisition. Through the acquisition, Latvian Forest Company AB will acquire 1,338 hectares, of which 1,272 hectares are forest land with a total timber stock that is estimated to amount to 301,000 m³. The acquisition is planned to be completed before December 1, 2021. In connection with the acquisition, the company plans to take out a bank loan corresponding to approx. EUR 3.4 million and finance from its own funds. Following the acquisition, Latvian Forest Company AB will own a total of 7,189 hectares, of which 6,591 hectares are forest land and the timber stock is estimated to correspond to 1,011,740 m³ in Latvia and Lithuania.
For further information please contact
Aleksandrs Tralmaks, CEO
+37129203972
Or visit our website: www.latvianforest.se