New Hanza Capital, AS financial results in Q1 2020

Q1 2020 has been successful for New Hanza Capital, AS (the Company) and its group; the financial results comply with the planned. In the first three months of the year, the Company has been working at a profit of EUR 3.45 million.

Having sold 100% of shares of companies NHC 1 and NHC 3, which owned the headquarters of AirBaltic at Riga Airport and a production and logistics complex in Kekava Region, for EUR 15.8 million, the group decreased its liabilities by EUR 7.2 million and gained additional free cash in the amount of more than EUR 8.6 million. The available funds are going to be invested in development of further projects.

Key unaudited financial results of the group:

  • Q1 2020 revenue amounted to EUR 4.6 million;
  • modified EBITDA* amounted to EUR 514 679 (*earnings before interest, taxes, depreciation and amortisation, revaluation of investment properties);
  • cash flow from principal operation amounted to EUR 1.35 million.

Key events

In the reporting period the Company concluded share sale agreements with EfTEN Real Estate Fund III about sale of 100% of shares of the Company’s subsidiaries NHC 1, SIA and NHC 3, SIA. NHC 1, SIA owned real estate object – office buildings at 3 Tehnikas Street, Riga Airport, Mārupes District, while NHC 3, SIA owned warehouse building at “Piepilsētas”, Krustkalni, Ķekavas District. The total amount of the transaction constituted roughly EUR 15,800,000. Under these share sale transactions there were also the loans issued by the Company to NHC 1, SIA and NHC 3, SIA returned.

New Hanza Capital, AS is a company founded in 2006. The objectives of its operation include investing own and third party funds in commercial real estate objects to achieve sustainable increase in income from renting the premises and enlarging of the value of properties.