OREANDA-NEWS. May 28, 2013. The Cabinet of Ministers heard the informative report regarding the course of implementation of the government corporation “Latvijas Hipoteku un zemes banka” commercial section sale strategy, and approved the sale of the remaining commercial asset packages that is being implemented in accordance with the decision to terminate the commercial activities of “Latvijas Hipoteku un zemes banka” by the end of 2013, and to concentrate only on the tasks of a development institution.

According to the report, a section of commercial package comprised of loans to the real estate developers will be sold to JSC “Rietumu Banka”, the offer of which has been recognised as corresponding to the market situation. It is planned that the transaction and transfer of customers will be performed within a month after being approved by the Financial and Capital Market Commission.

‘We are pleased with the work we have done together with our colleagues from “Latvijas Hipoteku un zemes banka” and the consulting company “Superia” in the preparation of this transaction and negotiating its conditions. I believe this has been beneficial for all parties, and corresponds to the strategy of the state in the bank sector, as well as the business profile of Rietumu Bank, the interests of which in Latvia are aimed at servicing corporate business and large projects,’ notes Renats Lokomets, Board Member of Rietumu Bank.

As noted in the Ministry of Finance’s statement: “The most important criteria in the purchaser selection procedure were the best possible price, as well as good reputation and stability. The involved parties: the Ministry of Finance, the consultant “Superia” (formerly – “SEB Enskilda”) and “Latvijas Hipoteku un zemes banka” have done everything possible to enter into the best and most beneficial transaction in the current economic situation, which will ensure banking services and the highest level of service to customers of the “Latvijas Hipoteku un zemes banka” commercial section into the future”.