In accordance with the requirement of Section 7 and 10 of Article 59.1 of Law on the Financial Instruments Market, the Board of the Joint Stock Company “Latvijas balzams” (hereinafter also “the Company”) informs that significant transaction has been concluded with regard to extension of previously granted guarantee related to Overdraft Agreement concluded between Company`s group entity S.P.I. Spirits (Cyprus) Limited, Cyprus reg. No. HE 102536, and Luminor Bank AS (hereinafter – Credit agreement) for the maximum credit amount of EUR 13,273,048.08. The impact of the transaction on the Company's commercial activities is evaluated positively.
The transaction is also forecasted to have a positive impact on the shareholders of JSC “Latvijas balzams”, which are not considered as related parties to the transaction, as the Company will receive additional income. The Audit committee’s opinion on the transaction has been obtained.
Intars Geidans
Chairman of the Board
JSC “Latvijas balzams”