Financial Services, Foodstuff, Latvia, Legislation, Markets and Companies

If Latvijas piens is unable to honor its obligations to Trikata KS, the latter will have the right to sell the brand.

Latvijas piens CEO Anita Skudra declined to reveal the details of the offer, but she told LETA that the company had prepared an offer on the repayment of its debt, more than EUR 3 million, to Trikata KS, and presented the offer to Trikata KS during Latvijas piens shareholders' meeting earlier today.

Latvijas piens has made the offer to Trikata KS, and confirmed that it would settle its debts to the company, as Latvijas piens has not paid in full for milk it was supplied by Trikata KS in 2014. Trikata KS accepted the offer. There were no other matters on the agenda of the shareholders' meeting today, said Skudra.

On the other hand, Edgars Ruza, Director General at the cooperative society Latraps, also a shareholder in Latvijas piens, told LETA that Latraps had repeatedly offered to buy Trikata KS shares in Latvijas piens today.

"We wish all farmers who are members of the cooperative to have the feeling of security. That is why we have repeated the offer, although the first time we made the offer, about a month ago, it was turned down," said Ruza.

Trikata KS CEO Uldis Krievars told LETA that talks were ongoing and that he would not comment the details.

As reported, Krievars told LETA yesterday that Latvijas piens owed Trikata KS EUR 3,036,600, therefore Trikata KS, the majority shareholder in Latvijas piens, had decided to sell its shares in the dairy company.