Kārlis Krastiņš: after investment, the value of “airBaltic” will increase to 260 million euro

February 4, 2016

Riga, 4th of February, LETA. In the deal, where German investor Montag-Girmes acquired 20% stake in Latvian national airline “airBaltic”, the company had been highly valued – approximately 128 million euro, despite their negative equity, agency LETA was informed by “Prudentia” chairman of the board Kārlis Krastiņš. Therefore, after investment airline “airBaltic” will be worth 260 million euro.

Krastiņš also indicates, that this deal with “fresh” investment of 132 million euro will ensure an essential boost in “airBaltic” development process. The chairman of “Prudentia” also emphasizes, that the financial investor will obtain only minority stake amounting 20%, which does not hinder operations of “airBaltic” and the state, and even facilitate further investor attraction.

The value of “airBaltic” in the next deal with potential strategic investor will depend on investor communication, realization of the airline business plan and aviation market conjuncture. Krastiņš states, that, by realizing their business plan, the value of “airBaltic” eventually must increase.

He also shows his gladness, that the deal, organized by “Prudentia”, “moves forward” and an essential step has been made – investor and state financing agreements have been signed. “I think, that it is going to be one of the largest merger and acquisition deal in the Baltics in 2016,” the expert states.

Please reload