bnn.lv Latviski   bnn-news.com English   bnn-news.ru По-русски
Tuesday 16.01.2018 | Name days: Lida, Lidija
LatviaLatvia

Magonis sells capital shares worth EUR 7 for EUR 1.2 million

FaceBook
Twitter
Draugiem
print
(No Ratings Yet)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RULast year, former chief of LDz Ugis Magonis sold shares in a company registered in Chelyabinsk worth EUR 7 for an incredibly high price – EUR 1.2 million, as reported by De Facto programme. At the same time, available financial results of that company are bad: the company’s turnover was only EUR 3,138 and losses were EUR 1,032,971 in 2014.

Last year, Magonis submitted his declaration. In it, it is stated that he had received income worth EUR 1.2 million from Cyprus-based Claresanto Investments. Magonis confirmed in his interview to the programme that he sold shares he owned in a Russian company.

In 2012, Magonis acquired 10% of shares in Chelyabinsk-registered Tretya Gruzoperevozochnaya Kompaniya. The nominal worth of capital shares at the time was EUR 30. Because of Russian rouble’s fluctuations, the worth of shares dropped to EUR 17 last year. Magonis sold 4% of shares to the Cyprus-registered company.

What is confusing is the way Magonis acquired EUR 1.2 million from this transaction. Nearly three years ago, Magonis said dividends would not grow quickly. «The project is young. Technology needs developing and adapting to the railway. It will be a long process – nothing in our industry transpires quickly.» Publicly available financial results are poor as well.

Turnover of more than EUR 7.5 million in 2012 had declined to EUR 3,000 in 2014. Revenue after taxes is also in the negative. Losses have been varied for the company – exceeding EUR 1 million one year ago. The company’s assets were mostly made up of debts, large loans and negative capital. If Magonis managed to sell his 4% of shares for EUR 1.2 million, it is hard to expect any expert to evaluate this company to be worth EUR 30 million.

The Cyprus-based company that bought Magonis’ shares for EUR 1.2 million became the sole owner of Kundzinsalas eastern project in 2014. This company was previously indirectly owned by Skonto būve’s owner Ivars Millers.

Kundzinsalas eastern project is one of the companies that have been planning the development of a new terminal on Kundzinsala for a long time. LDz has constructed a railway line that leads to the planned terminals. Magonis was proud of that, saying that ‘it is necessary to increase the railway’s capacity, considering plans to develop the construction of new terminals’.

Claresanto Investments has officially become partners of Magonis’ private deal. However, when asked if he knows that Claresanto Investments is the owner of Kundzinsalas eastern project, Magonis said: «It cannot be the owner. There is no conflict of interests. I don’t believe that company is an owner there.»

Magonis’ time in LDz has officially come to an end. He was dismissed from his post shortly after the arrest. Nevertheless, Magonis remained the CEO of LDz for a long time. «Following Ugis Magonis’ initiative, an agreement has been reached in regards to the conclusion of work relations. It happened in December 2015. We no longer have any employment relationship and other contractual relations with Ugis Magonis,» – said LDz board member Edvins Berzins.

Ref: 102.109.109.7454


Leave a reply

Economic expert: 2018 expected to be good for investors

«This year promises to be good for investors, because global economy is on a rise and profits of businesses have a tendency to grow,» says Luminor economic expert Gints Belēvičs.

Estonia counts more residents for 3rd consecutive year

Registering an increase in the Estonian population for the third consecutive year, Estonian statisticians have estimated that the population has increased by 3,070 people to 1,318,700 residents. They have also warned that this is preliminary data, which could still change considerably as unregistered immigration has not been included.

Russian school struck by teenager knife attack

In a knife attack on a school in Perm, Russia, eleven children and a teacher have suffered injuries.

NA: city council has to consider new partnership approach for Agenskalns market

Riga City Council members have to decide what is more important for Agenskalns market’s development: rate or quality. There are two options: force a closed market development with an auction of long-term lease or consider public private partnership option. Such a proposal was submitted to Riga City Council’s City Property Committee by the faction of the National Alliance.

Romania Prime Minister changed, second since June

Romanian head of government Mihai Tudose has lost the support of his own Social Democratic Party becoming the second Romanian Prime Minister to lose the seat in seven months.

Moderately rapid export rise recorded in Latvia in January-November period

Compared with the previous year’s period, a moderately rapid export growth was recorded in Latvia in the January-November period of 2017 when compared with other EU member states, according to data published by Eurostat.

Japanese R&I upgrades Latvia’s credit rating to A-

Japanese Rating and Investment Information, Inc. (R&I) has announced its decision to upgrade Latvia’s rating from BBB+ to A- with a stable outlook, as reported by Latvian State Treasury.

KVV Liepājas metalurgs to be auctioned off

Insolvency administrator to the bankrupt KVV Liepājas metalurgs Guntars Koris has decided to sell property owned by the company at an auction, as confirmed by the administrator’s representative Dzintars Hmieļevskis.

Port turnover of Latvia’s neighbours up 9%; Latvia suffers 2% decline

«Total turnover of Russian ports has grown to 787 million tonnes, according to data from Russian Federal Agency for Marine and River Transport. Compared with 2016, stevedores of Latvia’s neighbouring countries serviced 7.2% more liquid cargoes, with their volume reaching 414 million tonnes. The total volume of bulk cargoes, on the other hand, has increased by 11.1%, and now reaches 373 million tonnes,» as reported by Dienas Bizness journalist Egons Mudulis.

Greek transport strike seeks to safeguard right to call strikes

A scope of Greek public transport services drew to a halt on the opening day of the week as public transport workers and air traffic controllers engaged in a strike to protest against what they see as attempts to limit they right to hold strikes.

Olaine prison to have a new training centre for correctional service personnel

On 15th and 16th January, Justice Ministry will organize a meeting for the Norwegian finance instrument’s 2014-2021 planning period. During this period, officials will discuss the progress of the Improved correctional services system. As part of this programme, it is planned to build a new training centre in Olaine prison for correctional service personnel, as reported by the ministry.

Estonia's new road tax payment criticised by road hauliers

As the new road tax has entered into force in Estonia in 2018, the country's Association of Estonian International Road Carriers has commented after the first two weeks of its implementation that a key problem is that the state has not granted truck drivers the possibility to pay the road tax at gas stations in addition to the existing way paying the tax online.

Marriott International hotel network enters Latvia’s market

Albert Hotel will be closed down for renovations on Monday, 15 January. It will be reopened in 2019 as AC Hotel Riga part of Marriorr Group. The new Marriott hotel in Latvia will be managed by Legendhotels, as BNN was told by the company.

NP: Reizniece-Ozola and Kučinskis are proud of tax reform, businessmen are not

Latvia’s tax system underwent serious reforms before the country entered 2018. Until now officials only mentioned the benefits – businessmen will no longer have to pay tax for profits if they reinvest money in business development, the majority of small wage recipients will become several dozen euros richer. However, businessmen are generally dissatisfied with the reform, Nekā personīga reports.

Ilves suggests creation of world cyber-security alliance beyond NATO

Former Estonian President, cyber-security activist Toomas Hendrik Ilves has noted that world's democratic countries, starting from NATO, should form a common cyber security organisation.

French wish for baguette to be protected by UNESCO intangible heritage list

French President Emmanuel Macron has stated that the French long bread, baguette, should be added the UN's UNESCO intangible cultural heritage list which aims to save mostly cultural traditions from globalisation.

LTV: ex-insolvency administrators threatened to confiscate Trasta komercbanka creditors’ money

The prosecutor’s office has raised charges against former insolvency administrators Māris Sprūds, Ilmārs Krūms and four others in the Trasta komerbanka liquidation case, as reported by De Facto programme of LTV with reference to information from Prosecutor General’s Office.

Alcohol ban for women upheld in Sri Lanka

An attempt by the government of the South Asian nation of Sri Lanka to lift a ban on buying alcohol has been rejected by the country's President Maithripala Sirisena reasoning that he has listened to criticism of the move.

Weather in Latvia expected to be windy and snowy this week

Weather will change in Latvia this week: more snow and stronger winds are expected in most of the country. On Monday, 15 January, influence of the anticyclone in the country will start declining. A new cyclone will approach Latvia from the west, which will remain until Thursday, as reported by State Environment and Meteorology Centre.

Week in Lithuania. Lithuanian ruling MPs initiate probe into public broadcaster LRT

Lawmakers of the ruling Lithuanian Farmers and Greens Union initiated a parliamentary investigation into the management and financial and economic activities of the public broadcaster Lithuanian National Radio and Television, Arvydas Nekrošius, vice-speaker of the Seimas, confirmed.

BNN summary of the week: growing emigration in Lithuania, better investors’ mood in Latvia

BNN offers a summary of this week’s topical news in a variety of categories: Change, Business, Fight, Decline, Growth, Opinion, Future.

Five pieces of advice to refresh one’s driving skills

Getting a driver’s license is considered an important accomplishment in life. Most Latvians pass the exam around the age of 18. However, not all of them continue improving their driving skills and knowledge after first passing the exam. Safe Driving School and Circle K urge residents to check five pieces of advice that can help consider future steps to help improve driving skills and become confident about driving skills.

Donation boom continued: Lembergs’ associates generously support UGF

Following the example established by Aivars Lembergs, who is accused of serious crimes, the closest associates of For Latvia and Ventspils in Ventspils City Council had provided very generous donations to its friendly political party – Union of Greens and Farmers, as concluded by Ventspilnieks.lv, analyzing information from Corruption Prevention and Combating Bureau’s database.

FVS says it is too soon to conclude quality of EU products differs from country to country

It is too soon to claim that the quality of products sold in the European Union differs from country to country, said Director of Latvia’s Food and Veterinary Service (FVS) Ernests Zavadskis on the topic of dual quality of European goods.

airBaltic claims to have punctually carried 99% of transit passengers in 2017

Latvia’s national airBaltic airline carried more than 900,000 transit passengers in 2017. Only 10.8% of them failed to show up for their flights on time for different reasons, including countless worker strikes at European airports and bad weather, as BNN was informed.