Estonia airBaltic will be assessed after a specific offer from Latvia’s receipt / day

Although the idea of ​​Estonia and Lithuania’s involvement in airBaltic owners’ structure has been expressed in advance, this week the Ministry of Transport (MoU) received a government permit to make an offer to neighboring countries.

Leiss told Estonia’s public broadcaster ERR on Wednesday that it was impossible to talk about whether the government would consider participating in airBaltic, while Estonia has not received a specific offer to buy airBaltic shares.

Estonia is interested in keeping the airline as possible as many destinations as possible from Tallinn, he added.

The minister said that Latvia has been looking for opportunities for airBaltic for a long time, for example, considering the company’s shares on the stock exchange, but recent changes in management may delay the implementation of these plans.

« Our answer has been clear: submit a specific offer, tell us what to do, and then we will be able to discuss it. There is nothing to discuss, as long as they are, imaginatively, there are only conversations across the table or through the media. So we are waiting for their specific offer, » Leiss said.

He pointed out that if the airline’s share would be € 14 million and the company would need another 250 million euros in the future to implement a long -term strategy, then all this should be considered as one package.

« It makes no sense to speculate today whether Estonia is on board or on the plane – we will wait, » Leiss said, adding that the government has not yet considered the issue.

Prime Minister Kristens Michael commented on the situation similarly.

« We currently have no more detailed offer on Latvian plans, we will definitely analyze and comment when we receive up -to -date information, » he said.

It has already been reported that the Latvian government on Tuesday, June 17, reviewed the informative report submitted by the MoU on the results of the first quarter of airBaltic, the first quarter of 2025, the progress (IPO) of the original public offer (IPO) and the decisions needed to implement it.

Based on the negotiations launched at the invitation of Prime Minister Evika Siliņa (JV), the MoU will officially make an offer to Lithuanian and Estonian partners before IPO for possible participation in airBaltic, along with Lufthansa group. The Baltic partners will be offered a structured participation mechanism that will strengthen regional cooperation and improve the IPO investment story, MoU points out.

Minister of Transport, Atis Švinka (P) mentioned that airBaltic’s connectivity contributes directly to Estonian and Lithuanian tourism, economy and competitiveness. All three Baltic countries benefit from one strong aviation market player in the region.

« That is why today’s government’s decision is moving forward with an official offer to Estonian and Lithuanian partners – governments and airports, for possible participation in airBaltic. The Baltic’s contribution will improve the airBaltic’s IPO story, » Schwink says.

Andrey Martinov, chairman of the board of airBaltic, emphasized that the potential airBaltic IPO will be an important step not only in the development of the company, but also in the strengthening of the overall Baltic capital market, enabling local investors to become part of the regional airline and its development story.

AirBaltic continues its active preparation for the potential IPO so that the company is ready to quote shares on the stock exchange when the market conditions are favorable, Martinov explained.

It is also reported that in the first quarter of this year, the airBaltic group had a loss of EUR 29,348 million, which is 27.8% less than in the first quarter of 2024, but the Turnover of the Group increased by 0.3% to EUR 132,719 million.

In 2024, the airBaltic Group worked with audited losses of EUR 118.159 million, as opposed to profit a year earlier, but the Group turnover increased by 11.9%compared to 2023, reaching EUR 747.572 million.

Currently, the Latvian state owns 97.97% of airBaltic shares, while financial investor, Danish businessman Lars Nuten, owned by Aircraft Leasing 1 – 2.03%.

However, at the end of January 2025, an agreement was reached with the German airline Lufthansa on investment in airBaltic in the amount of EUR 14 million. In exchange for the investment « Lufthansa Group » will receive convertible shares, which will give it 10% participation. Later, after the potential airBaltic IPO, these convertible shares will be converted into ordinary shares.

After the IPO Lufthansa Group participation, the potential IPO market price will be determined. The deal also stipulates that Lufthansa Group will be at least 5% of airBaltic’s capital after the potential IPO. Similarly, the Latvian government agreed on August 30, 2024 that the country should retain at least 25% plus one share, following the capital of the airBaltic IPO.

This transaction has yet to obtain permission from the German Federal Cartel Bureau (« Bundeskartellamt »).