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International Internet Magazine. Baltic States news & analytics Friday, 29.03.2024, 13:14

Vilks: Ukrainian investors are very welcome in Latvia

BC, Riga, 03.10.2014.Print version
After a meeting with the new owner of Liepajas metalurgs Valery Krishtal today, Finance Minister Andris Vilks said that Latvia and the other Baltic countries are also open to other Ukrainian companies which wish to enter the European Union market, reports LETA.

Laimdota Straujuma and Andris Vilks at the meeting with Valery Krishtal. Photo: flickr.com

He emphasized that this is the right time for Ukraine to move closer to the EU marker, and Latvia is one of the countries where Ukrainian investors are very welcome. ''The current geo-political situation is the right time for Ukrainian business to think about closer cooperation with European countries,'' the minister said.

 

Commenting to sale of Liepajas metalurgs to the Ukrainian company KVV Group, Vilks admitted that this is a perfect example that Latvia is capable of reanimating a company which initially was thought to be hopeless and the company lost. ''This is a very valuanle experience, which shows that Latvia can accomplish very complicated things,'' the minister pointed out.

 

Prime Minister Laimdota Straujuma (Unity) also praised the fact that it was possible to rescue a company which was deemed insolvent. During a meeting with Valery Krishtal, he confirmed to her that the company will resume production already this year.

 

''I hope and believe that we will be able to restore the company's reputation,'' the prime minister said.

 

Both Vilks and Straujuma praised that fact that a very professional investor was selected to revive the company, as well as the fact that Latvia will be able to recover all the funds it pumped into the company's rescue.

 

As reported, Liepajas metalurgs insolvency administrator Haralds Velmers signed the company's sales agreement with Ukraine-registered KVV Group last night, KVV Group spokeswoman Inese Ozolina informed LETA.

 

After signing the agreement, Velmers said that a very important chapter has concluded in the company's sale process, and that he was pleased at finding a suitable investor and signing the agreement before deadline.

 

LETA also reported, the Ukrainian company KVV Group won the Liepajas metalurgs tender and the right to acquire the metallurgical plant for EUR 107 million.

 

KVV Group intends to invest a further EUR 30 million into Liepajas metalurgs and resume production already this year.

 

It is planned that Liepajas metalurgs will manufacture metal products for KVV Group, as well as for export.

 

Liepajas metalurgs halted production last spring. In July 2013, the State Treasury repaid from the state budget the principal amount of the loan owed to the Italian bank UniCredit by Liepajas metalurgs – EUR 67,465,056 or LVL 47,414,711.






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