Energy, Gas, Latvia, Legislation, Markets and Companies

Upon assessing the deal, the Competition Council came to the conclusion that Areti International Group Limited is not involved in any business activity in Latvia, but that it is linked to two other companies doing business in Latvia - Dinamo Riga ice-hockey club and Areti Baltic Holding. The two enterprises operate in two separate markets.

Latvijas Propana Gaze, meanwhile, produces and sells liquid natural gas, is involved in wholesale of fuel gas and sells automobile gas in retail trade, as well as ensures storage and distribution of propane.

“Since each of the aforementioned companies operates in a separate market, the Competition Council did not find any horizontal overlap, which means that none of the markets is being affected. The takeover deal can therefore be allowed,” the Competition Council said.

According to information available at Firmas.lv, Latvijas Propana Gaze was established in 2000 and originally belonged to Latvijas Gaze natural gas utility, but later it was sold to Switzerland’s Massonyx LTD. Since 2015, the majority stake in Latvijas Propana Gaze belonged to the Cyprus-registered Semental Holdings Limited, but in May 2017 all 100% of Latvijas Propana Gaze shares were sold to Areti International Group Limited.

Latvijas Propana Gaze has a share capital of EUR 7,142,815. The company closed 2016 with EUR 56,505,268 in turnover and a profit of EUR 906,082.

Juris Savickis used to be the sole owner of Areti Baltic Holding but since 2016 he holds a 34% stake in the company, while the remaining 66% belong to the Cyprus-registered Aretigas Holding Limited.

Dinamo Riga, established in 2008, has a share capital of EUR 2,916,522. According to information available at the hockey club’s official website, the key shareholder of Dinamo Riga is Itera International Energy, but other shareholders include Savickis, Guntis Ulmanis, Guntis Ravis, Aigars Kalvitis, Aldis Paunins and Krists Freibergs.