WALLESS advises Eco Baltia Group on the acquisition of Pilsētas Eko Serviss SIA
Eco Baltia AS – the largest and fastest growing environmental resource management group in the Baltics, has expanded its activities after acquiring the shares of road and street maintenance company Pilsētas eko serviss through its subsidiary Latvijas zaļais punkts. The transaction was approved by the Competition Council in December 2022 and completed in early 2023. The acquisition helps Eco Baltia Group to strengthen its leading position in the Baltic environmental management sector.
WALLESS provided full legal support throughout the transaction, including advising on the planning and implementation of the transaction structure, assisting in drafting the report to the Competition Council and other transaction documents.
The WALLESS Latvia team was led by the partner, attorney-at-law Zane Eglīte-Fogele. Tax advice was provided by the head of the tax practice, certified tax consultant Ingūna Ābele.
“Our goal as shareholders is to develop Eco Baltia as a strong regional leader, characterised by sustainable entrepreneurship and a move towards a circular economy in business. With this transaction, Eco Baltia’s service portfolio will continue to grow, creating additional value for customers, employees and investors, and increasing the company’s future growth potential”, says Vītauts Plunksnis, Partner at INVL Baltic Sea Growth Fund and Chairman of the Supervisory Board of Eco Baltia.
“The economic situation, rising production costs and energy prices create additional challenges for every company. At the same time, it is a time for businesses to look for and implement new efficiency solutions, continue to grow and strengthen their market position”, says Jānis Aizbalts, Chairman of the Board of Eco Baltia vide and Head of Eco Baltia’s Environmental Management segment.
Over the past two years, the Group has grown from a local company to an international player with combined revenues of around €240 million in 2022.
Latvijas Zaļais punkts had a turnover of EUR 10.925 million in 2021, 16.6% more than in 2020, while its profit increased 3.8 times to EUR 4.912 million. In 2021, Pilsētas eko serviss had a turnover of €5.701 million, up 17% year-on-year.
References: press release from Eco Baltia, article Dienas Bizness