Ventspils Nafta’s largest co-owner – Vitol Group’s Euromin Holdings Limited – has procured and additional amount of 54,517 stocks of VN, according to an announcement in Nasdaq Riga.
Considering that the total number of VN securities is 104,479,519, Euromin Holdings has procured and additional amount of 0.52% of stocks.
As previously reported, it was reported in the middle of September that VN’s largest co-owner – Vitol Group’s owned Euromin – procured 43.25% of VN stocks for EUR 79.98 million thereby acquiring 93.24% of all stocks in the company. According to information provided by sides involved in the transaction, the price of individual stocks was EUR 1.77.
By acquiring 93.24% of VN stocks, Euromin now has an obligation to provide buy-back offers to other remaining stockholders. If the extension of those offers is successful, Euromin may consider pulling VN from the regulated market.
In September, VN experienced the largest stock price growth in Baltic stock markets – by 186.24%.
Euromin Holdings Limited had previously bought an additional 11,016 VN stocks in September, according to information from Nasdaq Riga stock market.
Net revenue of VN and its subsidiaries was EUR 21.22 million in the first half-year of 2015. Consolidated revenue has grown by 7.6%, reaching EUR 95.66 million. Net revenue of last year’s period was EUR 4.35 million.
As previously stated by Swiss lawyer Rudolf Meroni, nearly EUR 80 million is an appropriate price for 43.25% of stocks of Ventspils nafta, which Ventbunkers’ subsidiary Latvijas Naftas tranzīts has sold to Vitol Group’s Euromin Holdings (Cyprus) Limited.
Ventbunkers board member Edgars Ciniņš notes that this deal is a logical step in VN’s development. It also helps Euromin Holdings Limited to increase its portion of stocks.
He explains that this deal has been in development for a long time and is «the result of hard work and devotion of many people». «I believe recently voiced speculations regarding the deal and the price and unjustified and based purely on delusions. I have no doubts about the transparency of this deal and its contribution to the company’s interests,» – said Ciniņš.
The entrepreneur also explains that it is far more important to consider all benefits from the deal than it is to give in to unjustified speculations. The price of the deal cannot be taken out of context. «I cannot understand why anyone would want to challenge this deal, unless, of course, it is done solely because of unknown personal interests. I believe everyone will benefit from this deal – the sides involved, the small shareholders in VN, Ventspils Freeport and Latvia’s transit industry as a whole,» – he adds.
Relations between Ventbunkers and Ventspils nafta have been «more than tense» for many years. Hard work has made certain the two companies are trusted partners. It is clear that they will work together to develop Ventpils Freeport. «It also helps preserve resources that would otherwise be used to resolve pointless disputes,» – adds Ciniņš.
«The recent surfacing of speculations and dissatisfaction with this deal can be easily explained with simple envy. There will always be people who dislike it whenever someone else has a good life and is successful in business, especially if the envious person is not nearly as successful in business,» – concluded Ciniņš.