Competition watchdog okays Citadele Bank to buy stake in Mobilly

The Latvian Competition Council has given Citadele Bank permission to acquire a 12.5% stake in the mobile services provider Mobilly, the competition watchdog’s spokeswoman Zane Gorskova told LETA.

Mobilly's mobile payment app is a familiar sight in Rīga and Latvia as you can use it to pay for parking, buy train and bus tickets, as well as make donations. 

Gorskova said that the Competition Council has authorized the deal as it is not expected to lead to any distortion of competition on the market.

“Upon assessing the information provided by the companies and obtained by the Competition Council, it was concluded that the acquisition will not lead to any significant changes in the market structure, weakening of competition or creation or reinforcement of a dominant position on a market. The acquisition deal therefore can be permitted,” the Competition Council said.

The Competition Council informed that on November 14 it received information on the acquisition deal by which Citadele will acquire a 12.5% stake in Mobilly, thus, obtaining a decisive influence in the company’s capital along with other major shareholders.

According to Firmas.lv, Mobilly belongs to Normunds Bergs (30.43%), Janis Bergs (26.85%), Uldis Paberzs (23.22%), alternative investment fund ZGI-3 (10.49%), Girts Slavins (5.37%), VVMV (3.64%).

Mobilly was registered in November 2003 and has a share capital of €476,860.

Last year Mobilly posted €961,191 in turnover and €8,032 in profit.

At the end of September 2018, Citadele was the fourth largest bank in Latvia.

    Related articles
    0 comments
    Comment
    Comment using your social media profile
    Economy
    Economy