Rietumu Banka has granted 3.9 million euros in financing to the Latvian company SIA ABC Parking for the acquisition of 100% of the share capital of SIA Jēkaba Arkāde – the company managing the well-known “Jēkaba Kazarmas” parking complex in Riga. SIA ABC Parking is owned by the Energy and Infrastructure SME Fund, managed by the Lithuanian company UAB Lords LB Asset Management.
The “Jēkaba Kazarmas” parking facility, located right next to Old Riga, was one of the first specially built multi-storey car parks in Riga and over the years has gained stable popularity. The building has 320 parking spaces across several floors.
“This transaction fits precisely with Rietumu Banka’s lending strategy – we finance not only business growth, refinancing of liabilities, and the implementation of new projects, but also various company and asset acquisitions and mergers (M&A) as well as management buyout transactions. In this case, the transaction is based on an asset with a stable cash flow and an already established position in the market, whose importance will only increase over time, given the shortage of good parking locations in the very centre of Riga. We are pleased to add this transaction to our lending portfolio,” says Artūrs Jukšs, Member of the Board of Rietumu Banka and Head of the Lending Department.
Established in 2016, the Energy and Infrastructure SME Fund is a closed-end investment fund based in Vilnius, Lithuania, targeting energy and infrastructure projects in the Baltic States and Poland. Meanwhile, Lords LB Asset Management provides investment management services to institutional clients and high-net-worth individuals. Founded in 2008, Lords LB Asset Management focuses on implementing real estate and private equity investment strategies.
“Our fund invests in strong energy and
infrastructure sector assets with the aim of generating predictable and stable
returns for our investors. We greatly appreciate the opportunity to acquire the
‘Jēkaba Kazarmas’ parking facilities, as objects of this profile and quality,
located right on the edge of Old Riga, will always be in demand. In Rietumu
Banka, we have found an experienced financial partner who understands
investment transactions, and with the bank’s involvement we can better ensure
appropriate financial returns for our fund’s investors,” says Dominykas
Svetikas, Fund Manager of Energy and Infrastructure SME Fund.
About Rietumu Banka
Rietumu Banka is the largest bank with Latvian
capital and one of the largest banks in the Baltic region. The bank’s
operations focus on servicing large and medium-sized companies, as well as
high-net-worth individuals in Latvia and other Baltic and European countries.
The bank’s clients include companies operating in sectors such as green energy,
food and goods production, commercial and residential real estate development,
construction, import and export transactions, logistics, trade, financial services,
technologies, and others.