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May 15, 2017
Reverta repays State Treasury additional EUR 3.6 m

Joint-Stock Company Reverta has made regular interest payments to the State Treasury on 5th, 12th, and 13th May 2017 in the total amount of EUR 3,6 m.

Next to intensive work undertaken to sell the remaining portfolios of non-performing loans and getting ready for the planned liquidation of the company, in the first three months of this year Reverta has recovered more than 13 million euros.

Thus, the total amount of recovered funds at the end of March 2017 was EUR 754 m which is 67 % of all distressed assets left to Reverta after the takeover and split of Parex Bank. Reverta has previously stated that this result significantly exceeds initial estimates of the company’s management and also the average figures of the distressed assets sector.

Additional information:
In order to implement the EC approved Restructuring Plan which envisages completion of the workout of Reverta’s portfolio and closing of all operations by the end of 2017, Reverta together with the financial consultant KMPG Baltics continues its efforts to sell the remaining loan portfolios. Currently four binding offers are being assessed in order to present the best bid for the further consideration of the Cabinet of Ministers in May 2017.


For more information contact:
Marita Ozoliņa
Head of Communication and Marketing Department
Tel.: 67779142 or 29287169
E-mail: marita.ozolina@reverta.lv

Apr 28, 2017
Notification on convocation of JSC “Reverta” AGM of shareholders


Notification on convocation of joint stock company “Reverta” Annual General Meeting of shareholders

The Management Board of joint stock company “Reverta” (unified registration number: 40003074590, legal address: Brīvības iela 148A-1, Riga, Latvia, LV-1012) convenes the Annual General Meeting of Shareholders of joint stock company “Reverta” and announces that it will take place on May 29, 2017 at 2.00 p.m. at 7th floor conference room No 7.17 of joint stock company “Reverta”, Brīvības iela 148A-1, Riga, Latvia.

Agenda:
1. On approval of the Annual Report of joint stock company “Reverta” for the year 2016.
2. On report of the Audit Committee of joint stock company “Reverta” for the year 2016.
3. On election of a chartered auditor of joint stock company “Reverta” for the year 2017.
4. On changes to the Articles of Association of Joint-Stock Company “Reverta”.
5. On approval of the Regulation of the Audit Committee of joint stock company “Reverta”.
6. On election of the Audit Committee of joint stock company “Reverta” and determination of the remuneration.
7. On termination of the operation of joint stock company “Reverta”.

Having regard to Section 273 (4) of the Commercial Law, the Management Board of joint stock company “Reverta” informs that the draft decision on changes to the Articles of Association of “Reverta” is set forth in the following wording:
“1) To make changes to Article 6.1 of the Articles of Association of joint stock company “Reverta” in the following wording: “6.1. The Management Board consists of 1 (one) member. The member of the Management Board is elected by the Supervisory Board.”
2) To exclude from the Articles of Association of joint stock company “Reverta” Articles 6.2 and 6.4.”

The Shareholders can get acquainted with the audited Annual report of joint stock company “Reverta” for the year 2016 on the website of joint stock company “Reverta” http://www.reverta.lv at Investors section under subsection Financial information.

The shareholders who represent at least 1/20 part of the company’s share capital, have the right within 7 days after the publication of the notification to require the institution which convenes the shareholders meeting, to include additional items on the agenda of the meeting. The shareholders, who propose to include additional items on the agenda of the shareholders’ meeting, are obliged to submit a draft resolution on the issues that are proposed by them for inclusion on the agenda or an explanation on the issues where no resolution is planned to be taken to the institution which convenes the shareholders’ meeting. The shareholders have the right to submit draft resolutions on items included on the agenda of the shareholders’ meeting within 7 days after the notification about convocation of the shareholders’ meeting is released. The shareholders have the right to submit draft resolutions on the items included on the agenda of the shareholders’ meeting during the meeting, if all the draft resolutions that have been submitted to the shareholders’ meeting have been reviewed and rejected. If a shareholder submits a written requisition to the Management Board at least 7 days before the shareholders’ meeting, the Management Board is obliged to give him/her the required information on the issues included on the agenda at least 3 days before the shareholders’ meeting. Upon request of the shareholders, the Management Board is obliged to provide information to the shareholders’ meeting about the company’s economic situation to such an extent that is necessary to objectively review and adopt a resolution on the respective issue on the agenda.

The total amount of joint stock company “Reverta” shares is 4’425’519’666 and the total amount of joint stock company “Reverta” shares with voting rights is 3’569’749’708.

The registration of shareholders will be open from 1.00 p.m. till 2.00 p.m. on the day of the meeting – May 29, 2017 - at the venue of the meeting.

The shareholders have the right to participate at the meeting in person or by mediation of their legal representatives or authorised persons:
• upon registration, shareholders shall present a passport or other personal identification document;
• upon registration, representatives and authorised persons of shareholders shall present a passport or other personal identification document, and shall submit a written power of attorney of the shareholder represented or legal representatives shall present a document certifying the authorisation. The shareholders can get acquainted with the form of a written power of attorney on joint stock company’s “Reverta” website http://www.reverta.lv at Investors section.

Shareholders of joint stock company “Reverta” can get acquainted with draft decisions as well as additional information and give their suggestions and proposals on the Agenda starting from May 15, 2017 till May 28, 2017 at premises of joint stock company “Reverta”, Brīvības iela 148A-1, Riga, Latvia, on any business day from 10.00 a.m. till 4.00 p.m., by arranging an appointment on the previous day by phone +371 67779102 or +371 67779108 and at the Registration on the day of meeting.

Yours sincerely,
Joint stock company “Reverta” Management Board

Mar 8, 2017
On changes to the composition of shareholders of Reverta

Joint-stock company Reverta informs that in accordance with the Restructuring Plan set up for Parex banka and the decision of the Cabinet of Ministers of 15 December 2014 on the restructuring of liabilities towards the European Bank for Reconstruction and Development, the latter has ended its participation in Reverta on 7 March 2017. Henceforth, the Latvian privatisation agency will have a 96.89 % shareholding in Reverta and other shareholders will have 3.11 % of shares.

For additional information:
Reverta’s main competencies are loan restructuring, debt recovery and real estate management. According to the Restructuring Plan approved for Parex banka by the European Commission, Reverta’s economic activities will be discontinued at the end of 2017. By this term Reverta has to complete sales of its portfolio and cease all operations.

For more information contact:
Marita Ozoliņa
Head of Communication and Marketing Department
Tel.: 67779142 or 29287169
E-mail: marita.ozolina@reverta.lv

Feb 28, 2017
Reverta: 2016 was a difficult but successful year

Unaudited financial results of joint-stock company Reverta for 2016 (hereinafter also referred to as the Reporting Period) show that funds recovered in 2016 amount to EUR 74.1 m, as compared to EUR 61.3 m over the same period in 2015. This is a result of several large projects having been completed in Latvia, Lithuania, Estonia, and Russia after many years of work.
The largest projects completed in 2016 were the Lithuanian loan project (EUR 10.6 m), Meridiane – a valuable land plot in Tallinn (EUR 9 m), the reconstruction, lease and subsequent sales of the central office building of airBaltic (EUR 6.19 m), and the sales of a commercial property at Frunzenskaya Naberezhnaya in Moscow (EUR 2.3 m).

During the Reporting Period, Reverta has repaid the State Treasury EUR 60 m, of which EUR 40 m was used to repay the principal, and EUR 20 m was used to repay the interest on State aid granted to Parex Bank.

‘2016 was a difficult but also successful year because after many years of sustained efforts we managed to conclude several complicated projects outside Latvia. As a result, since August 2010 till the end of 2016, we have recovered EUR 740 m or 66 per cent of all assets received from Parex Bank,’ points out Solvita Deglava, Chairperson of the Management Board of Reverta.

‘Already since the start of our operation we have been informing supervisory authorities and the wider public that loss will have to be recognised and the recovery of the State aid in its entirety would be a miracle. Nevertheless, we have done everything in our power to recover as much as possible and to reduce loss. The amount of the recovered State aid will depend on what will be the conclusion of the commenced sales process of the remaining difficult assets,’ says Solvita Deglava.

In order to implement the EC approved Restructuring Plan which envisages completion of the workout of Reverta’s portfolio and closing of all operations by the end of 2017, Reverta has signed an agreement with KMPG Baltics for receiving expert’s advice on the sales process of Reverta’s loan and real estate portfolios. After having examined data available on Reverta’s virtual data room, seven potential investors made non-binding bids. In line with the recommendation of the consultant KPMG Baltics, four best tenderers were invited to participate in a more thorough examination of Reverta’s loan portfolio.

At the end of the Reporting Period Reverta’s total asset portfolio was EUR 57.2 m – as a result of an intensive workout, over a year Reverta’s assets have decreased by EUR 87,4 m or 60 per cent.

Additional information:
Reverta’s main competencies are loan restructuring, debt recovery and real estate management. According to the Restructuring Plan approved for Parex banka by the European Commission, Reverta’s economic activities will be discontinued at the end of 2017. By this term Reverta has to complete sales of its portfolio and cease all operations.

For more information contact:
Marita Ozoliņa
Head of Communication and Marketing
Tel.: 67779142 or 29287169
E-mail: marita.ozolina@reverta.lv

Feb 15, 2017
Reverta Makes another Regular Interest Payment of EUR 3.7 m to the State Treasury

In February 2017, joint-stock company Reverta has made another regular interest payment to the State Treasury in the amount of EUR 3.7 m. Since 1 August 2010 Reverta has repaid the State Treasury EUR 430.1 m but the total of various payments to the State amount to EUR 690.3 m, including EUR 16 m in the form of tax payments.

By the end of 2016 Reverta had recovered EUR 740.3 m which is 66 % of all distressed assets received from Parex Bank, thus exceeding the initial estimates of Reverta’s management.

Currently there are only assets undergoing complicated and time consuming workout process left in Reverta’s loan portfolio. Other assets have been already disposed of and the recovered funds have been repaid to the State. In order to wind up economic activities of the company by the end of 2017, Reverta is looking for an investor to buy its remaining assets. Alongside the portfolio sales process, Reverta will continue workout of the portfolios until the closing of their sale.

For additional information:
In order to implement the EC approved Restructuring Plan which envisages completion of the workout of Reverta’s portfolio and closing of all operations by the end of 2017, Reverta has signed an agreement with KMPG Baltics for receiving expert’s advice on the sales process of Reverta’s loan portfolios.
Of 65 contacted potential investors 15 signed confidentiality agreements and in November 2016 received access to the virtual data room. Upon examination of the provided data, in December 2016 seven potential investors submitted their non-binding offers. In line with the recommendation of the consultant KMPG Baltics, four best tenderers were invited to participate in a more thorough examination of Reverta’s loan portfolio.

For more information contact:
Marita Ozoliņa
Head of Communication and Marketing Department
Tel.: 67779142 or 29287169
E-mail: marita.ozolina@reverta.lv

Jan 11, 2017
Reverta: EUR 60 m paid to the State Treasury last year

In 2016 Joint Stock Company Reverta paid 60 million euros to the State Treasury, which is by seven million euros more than in 2015. Of this sum, 40 million euros were used to repay the principal amount and 20 million euros were used to repay the interest on State aid to Parex banka.
The results of the previous year were significantly improved through several large and complex projects in Latvia and abroad, completion of which required many years of sustained efforts. One of the best known is the reconstruction, lease and sales deal of the central AirBaltic office building for the total amount of 6.2 million euros.

Between 1 August 2010 and 31 December 2016 Reverta has recovered EUR 735.7 m from the restructuring of distressed loans, sales of bonds, and disposal of real estate properties, which is 65 per cent of all assets. EUR 426.4 m have been paid directly to the State Treasury, and this is only a part of all obligations fulfilled and payments made by Reverta in due time and in full amount.

“By 31 December 2016, in the form of various payments the State has received from Reverta more than EUR 670.6 m. This is indeed a good indicator in view of the status and quality of the distressed assets left behind by the previous shareholders of the bank. Often the real market value of the assets was only 10 per cent of the loan,” points out Solvita Deglava, Chairperson of the Management Board of Reverta.

Solvita Deglava emphasizes: “It was clear already in the middle of 2010 when recovery of the State aid was commenced that Reverta will not be a profitable company. We were aware of the expected losses but have done our best to substantially reduce them.”

“This year we are going to continue the restructuring of the remaining loans and the recovery of funds in addition to the cooperation with a consultant to actively sell Reverta’s portfolios. It is our task to discontinue Reverta’s economic activities by the end of 2017,” explains Solvita Deglava.

As most of Reverta’s assets have been already disposed of, currently company’s total assets are less than 70 million euros. During 2016, assets of Reverta decreased by euro 79.8 m or 55 %, as compared to 31 December 2015.

Additional information:
Reverta is a distressed assets manager, the main competencies of which are loan restructuring, debt recovery and real estate management. According to the Restructuring Plan approved for Parex banka by the European Commission, Reverta’s economic activities will be discontinued at the end of 2017. By this term Reverta has to complete sales of its portfolio and cease all operations.


For more information contact:
Marita Ozoliņa
Head of Communication and Marketing
Tel.: 67779142 or 29287169
E-mail: marita.ozolina@reverta.lv