May 26, 2015 [The Baltic Course] - CJSC Belarusian Oil Company plans to acquire Woodison Terminal Ltd., one of the companies operating at the Freeport of Riga, according to the TV3 show "Neka Personiga", cites LETA.
The deal was being prepared for two years, “Neka Personiga” reported. It has not been closed yet, however, it is known that the Belarusian company plans to sign a share purchase agreement with Woodison Terminal. Both companies declined to reveal the price of the deal. Minsk has decided to ship potassium cargoes via Klaipeda Port, but oil products – via Riga.
Riga Vice Mayor Andris Ameriks told “Neka Personiga” that the actual results could be expected in two to three years. He explained that the largest problem of Woodison Terminal is that the terminal is situated in a canal near Kundzinsala Island, where the water depth is not suitable for large vessels.
“Neka Personiga” also reported that the Belarusian company has been promised beneficial railroad tariffs. Furthermore, construction of a new track line could cost USD 15 million.
Woodison Terminal former owners were Juris Sabasovs and Vladimirs Komogorcevs. The company now belongs to an offshore enterprise in Cyprus.
The company’s turnover in 2013 was EUR 4,484,384, which is 26% less than in the previous year, according to Firmas.lv information. Meanwhile, the company’s profit grew 22%, reaching EUR 992,450.
