PRX: JSC Reverta repays 4.5 m to the State Treasury
Since 1 August 2010, the State has received from Reverta a total of EUR 610.8 m in the form of various payments, of which EUR 366.6 m was paid directly to the Treasury.
As more than once noted before, the amount of funds repaid to the State Treasury considerably depends on completion terms of several large deals in the process of development. As a result of the increasing caution exercised by investors, the process of finding buyers for the large real estate properties has become much more difficult and time consuming than before, and therefore Reverta’s performance is still being affected by the unstable and unpredictable cash flow. Nevertheless, notwithstanding the unfavourable situation, last year Reverta repaid EUR 53 m to the State Treasury.
In line with the Restructuring Plan, which envisages termination of Reverta’s operation by the end of 2017, a continuous work on loan restructuring is going on, and by the end of 2015 the total amount of Reverta’s assets was EUR 144.6 m, as compared to EUR 220.3 m on 31 December 2014.
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Joint-stock company Reverta is one of the largest distressed asset managers in the Baltic countries. Since 1 August 2010 Reverta has recovered more than EUR 666.2 m from the restructuring and sales of distressed assets.
Following a request by the Latvian Privatisation Agency, KPMG Baltics is currently analysing the situation in the distressed asset market in order to provide recommendations on future disposal strategy of Reverta, including potential sales strategies along with a justified opinion on whether there are grounds to reconsider the currently approved sales strategy.
To learn more about Reverta, please visit our web page: www.reverta.lv.