Banks, Financial Services, Investments, Latvia, Legislation, USA

More detailed contract terms will be revealed in coming days, when the U.S. investors will arrive in Latvia. Latvian Privatization Agency's CEO Ansis Spridzans did not provide any specific date for the arrival. The agreement details will be known only when the Citadele sale agreement is signed.

The government of Latvia accepted Ripplewood Holdings offer which stipulates that 25% of Citadele shares will be acquired by Ripplewood Holdings, 50% – by currently undisclosed investors, and 25% – by the European Bank for Reconstruction and Development. According to information obtained by LETA, one of the investors is former U.S. Federal Reserve Chairman Paul Volcker.

The total price of Citadele bank shares is EUR 98.67 million, thus, 75% of Citadele shares would be sold for about EUR 74 million.

The Citadele sales agreement is said to be 70 pages long. Various issues, such as the bank's resale date, were discussed for a lengthy period of time.