News

23
08.2019

INTERIM REPORT JAN-JUN 2019

 

All shares in the subsidiaries have been sold, leading to a surplus of 10,803 TEUR

  • Equity amounts to EUR 1,154 (0.676) per share
  • Profit after financial items 9,726.4 (18.3) TEUR
  • Earnings per share EUR 0.474 (0.001)

(Parentheses data refer to the corresponding period last year)

About the company:

 

Latvian Forest Company AB (publ) is a Swedish listed company that acquires in and conducts forestry on favorable valued forests in Latvia. The three main grounds of the business are, in addition to forests being a sought-after real asset that grows by its own power,

 

  • an expected increase in price levels for Latvian forest and agricultural properties.
  • to create value increase through active forest management.
  • to create value growth by building a larger property portfolio.

The expansion is financed by carrying out new issues in stages as properties are acquired and the business is developing. Through Latvian Forest Company, shareholders become partners in many properties instead of an individual, which provides a good risk spread. The activities carried out in current forestry create the turnover needed to cover the company's costs over time and eventually generate a surplus.

Latvian Forest Company AB has EURO as accounting currency and all reporting takes place in EURO. Trading in the share at Spotlight takes place in Swedish kronor.

Results

 

March 27, the Company's Extraordinary General Meeting decided to approve the sale of all shares in the subsidiaries SIA Latvijas Mezu Kompanija and Baltic Forest IV SIA. SCA Mezs Latvija, a wholly owned subsidiary of Svenska Cellulosa Aktiebolaget SCA, has taken up and paid the shares in SIA Latvijas Mezu Kompanija and Baltic Forest IV SIA on April 8, 2019. The purchase price for the shares in the subsidiaries amounted to MEUR 16.7, with the addition of the buyer's repaid shareholder loan equivalent to MEUR 9.4, corresponding to the value of the subsidiaries' forest and agricultural properties (MEUR 26.2). The final purchase price has been determined by the entry balance sheet corresponding to TEUR 120 in a positive net working capital.

The result was TEUR 9,726.4 (18.3) for the first six months for the parent company. During the second quarter, the parent company performed a positive operating profit of TEUR 10,145.3 (17.6). This is a result of the above-mentioned sale.

Before the sale, the value of woodland and other land and the fair value of forest resources amounted to TEUR 24,727. SCA valued the subsidiaries forest and agricultural properties at TEUR 26,263, which is 6 % more than the book value.

Latvian Forest Company AB (publ) held the Annual General Meeting on June 27, 2019 and decided in accordance with the Board's proposal to pay dividends to shareholders with EUR 0.54 per share. On July 4, the company paid a total of EUR 11,075,973, corresponding to SEK 5.70 per share. This is due to the exchange rate of the Swedish krona, corresponding to SEK 10.54604 per EURO, on meeting day June 27, 2019. According to the Board's proposal, the remaining free equity shall be balanced into a new account.

Sales have resulted in a cost increase of approximately TEUR 670, of which TEUR 400 are one-off costs for the settlement of existing and previous forest management agreements, legal adviser costs and increased staff costs. The company has also had approximately TEUR 270 in increased one-off costs for legal and financial advisors at the parent company level.

In addition, the company has received demands from former Chairman Ted Alvenius and former board member and former CEO Fredrik Zetterstrom concerning compensation for increase in value at the sale of shares, in the company-owned operating subsidiaries. The Company's Board of Directors has previously made it clear, in the Company's annual report for 2017, that the Board considers that these agreements do not apply. The Company's Board of Directors has hired legal advisors to meet the requirements and clarify its basis. The Board of Directors has not made provisions in connection with these requirements.

The Board of Directors has decided to proactively evaluate investment opportunities in favorable valued forest in Latvia, according to the company's existing strategy. After dividends, the remaining liquid funds can be used for such investments, if the Company's Board of Directors should make such a decision.

Financing

During the first six months, no rights issues have been implemented. The company has no loans.

Financing strategy

Following comments from and probing among various shareholders and potential investors, the Board of Directors has decided that future financing in the form of rights issues primarily will be made with preference for existing shareholders, so-called preferential rights issues. However, this does not prevent targeted issues from being carried out, inter alia, at acquisition of property portfolios or in specific situations where a directed issue may be required. The total number of newly issued shares and the number of shares likely to be added by the exchange of convertible-bonds or new subscription of shares on the basis of warrants shall be equal to not more than the number in the highest number of shares according to the articles of association. However, the aim is that existing shareholders should not be disadvantaged if a directed issue is implemented.

In connection with the above, the Meeting decided to authorize the Board of Directors, that on one or more occasions before the next Annual General Meeting, with or without deviation from the shareholders' preferential rights, decide on a new issue of shares, issue of warrants and/or convertibles within the limits of the Articles of Association. Payment shall be possible in cash, by setting off, capital contributed in kind or otherwise subject to Chapter 2 (Paragraph 5) Section 1 to 3 and 5 of the Swedish Companies Act.

Shares

 

At the end of the period, the share capital amounted to EUR 2,297,307 divided into 80,000 Class A shares and 20,431,061 Class B shares. Class A shares represent ten votes and Class B shares one vote each. Each share represents EURO 0.112 (SEK 1.0) in share capital. According to the latest data, the five largest shareholders in voting value control 67.6 % of the capital and 67.2 % of the votes.

The market

The company management of Latvian Forest Company still thinks it is a favorable market for acquiring individual properties and property portfolios, despite record strong interest among investors on forest assets in Latvia 2019. The large investors who have completed acquisitions are expected to be busy establishing forest management procedures in the new market and will therefore have limited capacity to carry out the acquisition of individual properties. The local smaller forest owners will want to sell their properties after felling in order to avoid investment in forestry measures and improve their liquidity. It provides an opportunity to acquire such properties at a favorable price.

The favorable price level of wood products during 2018 has had a negative trend in the first six months 2019. This motivates many of the forest owners to review their plans and be more careful with their cash flow, which again favors a more active market for forest properties.

Significant events after the end of the period

 

Latvian Forest Company AB has signed a letter of intent on the acquisition of 2,232 hectares of forest and agricultural land in Latvia. The purchase price is estimated to be EUR 4,169,000. The portfolio consists of 713 hectares of woodland, 1,191 hectares of agricultural land and 328 hectares of other land covering 33 properties. In total, the holding has growing stock equivalent to 160,000 cubic meters of growing forest, of which 37,000 cubic meters are immediately fellable. Productive agricultural land equivalent to 730 hectares is leased to local farmers with an annual income of approximately EUR 48 000.

The remaining 461 hectares of agricultural land is expected by the company management to be converted into woodland.

The purchase is made through the acquisition of shares in a company and as the acquisition of individual properties from the same seller. The purchase will be completed after LFC conducted review of the company and its assets. The Board of Directors shall then approve the purchase. The possible acquisition will allow the company's operations to continue through continuous acquisition of new forest land portfolios that can be improved through active management.

LFC has established a Latvian subsidiary – SIA "Baltijas Mezu Investicijas" with the intention of acquiring forest properties in Latvia.

Other company news

The Annual General Meeting decided in accordance with the Board's proposal to re-elect board members Martin Hansson, Anders Nilsson and Andreas Norman and to elect Aleksandrs Tralmaks as board member. Ulrika Arver had declined re-election. It was decided that fees will be paid at a total of SEK 200,000 to the members of the Board, of which SEK 80,000 to the Chairman of the Board and SEK 60,000 each, to other members who do not receive compensation from the company.

Next report

The interim report for the period January to September 2019 is scheduled to be published on November 22, 2019.

Accounting principles

The parent company's accounts are prepared in accordance with RFR 2 Accounting for Legal Persons and the Annual Accounts Act.

About this report

This report has not been subject to special examination by the company's auditor.

Stockholm, 2019-08-24

 

For further information please contact

Aleksandrs Tralmaks, VD

+37129203972

info@latvianforest.se

Visit our website: www.latvianforest.se

RESULTATRÄKNING (TEUR)

 

YTD 2019

YTD 2018

Q2 2019

Q2 2018

Helår 2018

Nettoomsättning

 

15.6

32.0

-0.3

16.4

10.8

Övriga externa kostnader

 

-772.3

-77.3

-281.6

-51.8

-142.3

Rörelseresultat

 

-756.7

-45.3

-281.9

-35.4

-131.5

Resultat från finansiella investeringar

 

 

 

 

 

 

Finansiella intäkter

 

10,889.9

131.9

10,811.7

67.3

276.2

Finansiella kostnader

 

-406.8

-68.3

-384.5

-14.3

-61.6

Finansnetto

 

10,483.1

63.6

10,427.2

53.0

214.6

Resultat efter finansiella poster

 

9,726.4

18.3

10,145.3

17.6

83.1

PERIODENS RESULTAT

 

9,726.4

18.3

10,145.3

17.6

83.1

AKTIEDATA

 

30/06/2019

30/06/2018

Helår 2018

Genomsnittligt antal aktier

 

20,511,061

20,511,061

20,511,061

Antal aktier

 

20,511,061

20,511,061

20,511,061

Resultat per aktie efter skatt, Euro

 

0.474

0.001

0.120

Eget kapital per aktie, Euro (före och efter utspädning)

 

1.154

0.676

0.679

 

 

 

FÖRÄNDRING I EGET KAPITAL, TEUR

 

Aktiekapital

Överkursfond

Balanserat och årets resultat

Totalt

Ingående eget kapital 1 januari 2018

 

2 297,3

11 766,9

-210,4

13 853,8

Årets resultat

 

 

 

83,1

83,1

Kapitalanskaffningskostnader

 

 

-2,0

 

-2,0

Utgående eget kapital 31 december 2018

 

2 297,3

11 764,9

-127,2

13 935,0

Ingående eget kapital 1 januari 2019

 

2 297,3

11 764,9

-127,2

13 935,0

Årets resultat

 

 

 

9 726,4

9 726,4

Utgående eget kapital 30 juni 2019

 

2 297,3

11 764,9

9 599,2

23 661,4

 

 

 

 

 

 

 

 

 

BALANSRÄKNING (TEUR)

 

30/06/2019

30/06/2018

Helår 2018

TILLGÅNGAR

       

Andelar i dotterföretag

 

0.0

6,073.9

6,073.9

Fordran koncernbolag

 

0.0

6,939.9

7,639.7

Depositioner

 

5.1

5.9

5.3

Summa anläggningstillgångar

 

5.1

13,019.7

13,718.9

Kortfristiga fordringar (note 2)

 

146.5

37.0

16.1

Kassa och bank

 

23,554.3

839.5

243.0

Summa omsättningstillgångar

 

23,700.8

876.5

259.1

SUMMA TILLGÅNGAR

 

23,705.9

13,896.2

13,978.0

 

       

EGET KAPITAL OCH SKULDER

       

Eget kapital

 

23,661.4

13,870.1

13,934.9

Övriga skulder

 

26.9

9.3

27.1

Upplupna kostnader

 

17.6

16.8

16.0

Summa skulder

 

44.5

26.1

43.1

SUMMA EGET KAPITAL OCH SKULDER

 

23,705.9

13,896.2

13,978.0

Soliditet

 

99.8%

99.8%

99.7%

 

 

 

     KASSAFLÖDESANALYS (TEUR)

 

30/06/2019

30/06/2018

Helår 2018

Rörelseresultat

 

-756.7

-45.3

-131.5

Justeringsposter:

 

 

 

 

 - Erhållna räntor

 

86.4

131.9

276.2

 - Erlagda räntor

 

-12.2

-

-

 - Realiserade valutakursförluster

 

-8.5

-

-

Överskott vid försäljning av dotterföretag

 

10,803.5

-

-

Kassaflöde från den löpande verksamheten före förändringar av rörelsekapital

 

10,112.5

86.6

144.7

Kassaflöde från förändringar i rörelsekapital

 

-128.7

-38.4

6.8

Kassaflöde från den löpande verksamheten

 

9,983.8

48.2

151.5

Investeringsverksamheten

 

 

 

 

Försäljning av andelar i dotterföretag

 

6,073.9

-

-

Kassaflöde från investeringsverksamheten

 

6,073.9

0.0

0.0

Finansieringsverksamheten

 

 

 

 

Kapitalanskaffningskostnader

 

-

-2.0

-2.0

Förändring av fordringar på koncernföretag

 

7,639.7

-842.3

-1,542.1

Kassaflöde från finansieringsverksamheten

 

7,639.7

-844.3

-1,544.1

ÅRETS KASSAFLÖDE

 

23,697.4

-796.1

-1,392.6

Likvida medel vid årets ingång

 

243.0

1,635.6

1,635.6

Årets kassaflöde enligt ovan

 

23,697.4

-796.1

-1,392.6

Kursdifferens i likvida medel

 

-386.1

0.0

0.0

Likvida medel vid periodens utgång

 

23,554.3

839.5

243.0

 

 

Note 1, Group

In Q2, 2019, the company sold all shares in the Latvian subsidiaries. The accounts refer only to the parent company since no group exists on the last of June.

Note 2, Short-term receivables

Short-term receivables consist mainly of a final adjustment of the purchase price for the sold shares. The buyer paid the amount, TEUR 120, in July. Other items consist of interim claims and Vat.

Year- end report 2019
20.02.2020

Period January-December 2019

 

  • Book value of fixed assets 8,660 (24,574) TEUR
  • Equity amounts to 0,665 (1,145) EUR per share)
  • Property holdings amount to 3,816 (10,452) hectares

Read more
MINUTES HELD AT THE ANNUAL GENERAL MEETING OF LATVIAN FOREST COMPANY AB (PUBL)
20.12.2019

Minutes kept at the Annual General Meeting of Latvian Forest Company AB (publ), org. 556789-0495, at 10.00, Monday, December 16, 2019 in Stockholm.

Read more
INTERIM REPORT JAN-SEP 2019
22.11.2019

  • Equity amounts to EUR 0.604 (1,125) per share
  • Profit after financial items 9,523.4 (2,020.5) TEUR
  • Earnings per share EUR 0.464 (0.099)

Read more
LATVIAN FOREST COMPANY AB HAS SIGNED A PURCHASE AGREEMENT FOR THE ACQUISITION OF 3,460 HECTARES OF FOREST AND AGRICULTURAL LAND IN LATVIA.
12.11.2019

Parts of the acquisition have already been taken up and the remaining shall be taken later.

Read more
NOTICE OF EXTRAORDINARY GENERAL MEETING LATVIAN FOREST COMPANY AB (PUBL)
12.11.2019

Shareholders wishing to participate in the Meeting shall be included in the share register kept by Euroclear Sweden AB ("VPC) and report their participation no later than Wednesday December 11, 2019.

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Former CEO and Board member Fredrik Zetterström has called for arbitration against Latvian Forest Company AB.
08.10.2019

LFC informs that its past CEO and board member Fredrik Zetterström has called for arbitration against Latvian Forest Company AB regarding profit sharing corresponding to EUR 378,500. 

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Record day to receive dividends
01.07.2019

Today, Monday, July 1, 2019, is the record day to receive a dividend. According to a resolution of the Annual General Meeting dividend to the shareholders shall be paid EUR 0.54 per share or a total of EUR 11 075 973. 

Read more
Press release 2019-06-27
28.06.2019

Report from the Annual General Meeting
Latvian Forest Company AB (publ) held the Annual General Meeting on June 27, 2019.

Read more
Annual Report and Consolidated Financial Statements for Latvian Forest Company Aktiebolag (publ)
03.06.2019

Read more
INTERIM REPORT JAN-MAR 2019
24.05.2019

Book value of fixed assets amounts to 24,733.2 (21,924.3) TEUR

  • Equity amounts to 1,117 EUR (1,034) per share
  • Earnings per share -0.028 (0.008) EUR
  • Property holdings amount to 10,614 (9,665) hectares

Read more
NOTICE OF THE ANNUAL GENERAL MEETING OF LATVIAN FOREST COMPANY AB (PUBL)
23.05.2019

Notice of the Annual General Meeting of Latvian Forest Company AB (publ).

Shareholders of Latvian Forest Company AB (publ), org. No. 556789-0495, (the "Company") is hereby invited to the Annual General Meeting on Thursday, June 27, 2019, at 10:00 a.m. in Galjaden Fastigheter's premises on Linnégatan 18 in Stockholm.

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Chairman of the Board Ted Alvenius leaves his post as board member and chairman of Latvian Forest Company AB with immediate effect.
20.05.2019

LFC informs that Chairman of the Board, Ted Alvenius, is of a different opinion than the remaining Board of Directors regarding a transaction involving compensation for value increase in connection with the sale of all shares in the operating subsidiaries.

Read more
Disclosure Notice
16.04.2019

Galjaden Invest AB has increased its holding in Latvian Forest Company AB to 20.03%.

Read more
Press Release - sale of all shares in SIA Latvijas mezu kompanija and Baltic Forest IV SIA.
08.04.2019

Latvian Forest Company has, in accordance with a resolution at the Extraordinary General Meeting on March 27, 2019, completed the sale of all shares in SIA Latvijas mezu kompanija and Baltic Forest IV SIA.

Read more
Disclosure Notice
29.03.2019

Nils Robert Persson has increased his holding in Latvian Forest Company AB.

Read more
NOTICE FROM EXTRAORDINARY ANNUAL GENERAL MEETING
27.03.2019

Latvian Forest Company AB (publ) held the Extraordinary Annual General Meeting on March 27, 2019. The meeting resolved on the sale of all shares in the operating subsidiaries SIA Latvijas Mezu Kompaniju and Baltic Forest IV SIA to SCA Mezs Latvija, SIA

Read more
Summons to Extraordinary General Meeting of shareholders in Latvian Forest Company AB (publ)
13.03.2019

The shareholders of Latvian Forest Company AB (publ), Reg. No. 556789-0495 ("The Company") are hereby summoned to the Extraordinary General Meeting of shareholders to be held on Wednesday, March 27, 2019 at 10.00 in Galjaden Fastigheter premises on Linnégatan 18, Stockholm.

Read more
Latvian Forest Company undertecknar aktieöverlåtelseavtal med SCA Mezs Latvija
08.03.2019

LATVIAN FOREST COMPANY SIGNS SHARE TRANSFER AGREEMENT WITH SCA MEZS LATVIA

Read more
Bokslutskommuniké 2018
22.02.2019

  • Bokfört värde på mark- och skogstillgångar uppgår till 24.574 (21.323)TEUR
  • Eget kapital uppgår till 1,145 (1,027) EUR per aktie
  • Fastighetsinnehaven uppgår till 10.452 (9.599) hektar
  • Virkesvolymen uppskattas till ca 1.015.000 (995.160) kubikmeter

Read more
Latvian Forest Company signs letter of intent with Svenska Cellulosa Aktiebolaget SCA with a view of selling the entire share capital of all its operating subsidiaries
04.02.2019

Latvian Forest Company AB signs letter of intent with Svenska Cellulosa Aktiebolaget SCA with a view of selling the company’s operations by way of sale of all shares in the operating subsidiaries SIA Latvijas mezu kompanija and Baltic Forest IV, SIA. The total sale price is estimated to 26 000 000 Euro.

Read more
Interim Report January - September 2018
23.11.2018

  • Book value on land and forest assets of 23.840 (21.062) TEUR
  • Owners’ Equity per share was 1,125 (0,979) EUR
  • Property holdings of 10.357 (9.416) hectares
  • Timber volume was 1.016.600 (960.000) cubic meter

Read more
Interim Report January - June 2018
23.08.2018

  • Book value on land and forest assets of 22.137 (20.850) TEUR
  • Owners’ Equity per share was 1,047 (1,068) EUR
  • Property holdings of 9.877 (9.368) hectare
  • Timber volume was 1.034.000 (940.000) cubic meter

Read more
Come follow us on Instagram!
17.08.2018

Come follow us on Instagram

Read more
European Foresters' Orienteering Championships 2018
01.08.2018

We at Latvian Forest Company are proud supporters of orienteering in Latvia.

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Interim Report January - March 2018
24.05.2018

  • Book value on land and forest assets of 21.924,3 (20.829,8) TEUR
  • Owners’ Equity per share was 1,034 (1,06) EUR
  • Earnings per share 0,008 (0,0039) EUR
  • Property holdings of 9.665 (9.368) hectare

Read more
Interim Report January - March 2017
22.05.2017

  • Book value on land and forest assets of 20.829,8 (19.228) TEUR
  • Owners’ Equity per share was 1,06 (1,03) EUR
  • Earnings per share was 0,0039 EUR
  • Property holdings of 9.368 (8.590) hectare

Read more
Bronsstädet AB largest shareholder
23.09.2014

Bronsstädet AB (556612-1124) has purchased 1.878.616 B-shares in Latvian Forest Company AB (publ). The ownership, after purchases, corresponds to 14.81 percent of capital and 14.01 percent of votes which makes Bronsstädet AB the largest shareholder in Latvian Forest Co.

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Acquisitions will be completed
04.03.2014

Following the completion of its due diligence analyses, the Latvian Forest Company AB has decided to complete the previously announced acquisitions.

Read more