The council of the joint-stock company Ventspils nafta (Ventspils Oil, VN) has decided to sell most of its businesses to the joint-stock shipping company Latvijas kugnieciba (LK), where VN is a shareholder.
As representatives of both companies told BC on a press conference yesterday, the amount of the deal is LVL 82.7 million. LK will be sold VN's property and publishing businesses.
As a result, VN profit will reach approximately LVL 40 million.
VN will now specialize in management of transit sector assets, and will no longer be a holding company for companies from several business sectors.
The VN group's consolidated net profit in the first half of the year reached LVL 7.8 million, or 18% less than in the respective period last year (LVL 9.6 million).
VN consolidated net turnover in the first six months this year amounted to LVL 40.7 million, a 6% decrease year-on-year.
Up until now VN was the central holding company managing investments in several subsidiaries from the oil and oil product handling business, oil and oil product pipelines, property management, publishing, shipping.
VN is ranked 15th on a list of Latvia's most valuable companies in 2008, drawn up by the magazine Kapitals, investment banking company IBS Prudentia and the Riga Stock Exchange. LK is ranked 11th.
As a result, VN profit will reach approximately LVL 40 million.
VN will now specialize in management of transit sector assets, and will no longer be a holding company for companies from several business sectors.
The VN group's consolidated net profit in the first half of the year reached LVL 7.8 million, or 18% less than in the respective period last year (LVL 9.6 million).
VN consolidated net turnover in the first six months this year amounted to LVL 40.7 million, a 6% decrease year-on-year.
Up until now VN was the central holding company managing investments in several subsidiaries from the oil and oil product handling business, oil and oil product pipelines, property management, publishing, shipping.
VN is ranked 15th on a list of Latvia's most valuable companies in 2008, drawn up by the magazine Kapitals, investment banking company IBS Prudentia and the Riga Stock Exchange. LK is ranked 11th.