"Eco Baltia" issued 8 million EUR of bonds

On February 17, 2023 AS Eco Baltia, the largest environmental and waste
management group in the Baltics, issued 8 million EUR of its inaugural 3-year
bonds with annual coupon rate 8%. Maturity date of the bonds is set on February
17, 2026 with an option for the issuer to call the bonds after 2 years. 

Nominal value of each bond is 1,000 EUR. Bonds are issued at nominal value and
minimum subscription amount for one investor was set at 10 bond units, or
10,000 EUR. 

Subscription period of Eco Baltia's bonds during public offering started on
February 2, 2023 and ended on February 10, 2023. Issue was oversubscribed more
than 3.5 times with orders from over 250 qualified and retail investors from
Latvia and Lithuania. Total volume of received orders was 28.49 million EUR. 

Investors who placed the minimum order of 10,000 EUR were allocated in full,
while bigger orders received partial allocations. Retail investors were very
active in this transaction and were allocated 5.5 million EUR (69%) of the
total issue with institutional investors making up the remaining 2.5 million
EUR (31%). Most of the demand came from Latvian and Lithuanian investors with
subscription amounts standing at 54% and 45% of total orders respectively. 

The proceeds raised from bond issue will be used to finance future development
projects of Eco Baltia, with a focus on supporting the company's expansion
plans in Europe and promoting the circular economy. The Group is currently
evaluating several acquisition opportunities. In addition, the company has
several capital expenditure projects in its pipeline. 

On February 8, 2023 company applied for listing the bonds at Nasdaq Riga
alternative market First North and on February 9 Nasdaq Riga started the
admission procedure. 

Sole Lead Manager of the transaction was Luminor Bank together with Šiauliu
bankas acting as Co-Manager and Dealer. Transaction legal counsel and Certified
Adviser is law firm TGS Baltic, and trustee - law firm Eversheds Sutherland
Bitans. 

Offering Document and Final Terms of the transaction are available at Eco
Baltia's website www.ecobaltia.lv section "Investors". 



About Eco Baltia

Eco Baltia group is the largest environmental and waste management group in the
Baltics, providing the full-cycle waste management solutions from waste
collection and sorting to secondary raw material logistics, wholesale and raw
material processing as well as PET and PE/PP plastics recycling. 

In the first nine months of 2022, the Eco Baltia group reached its highest
consolidated net turnover up to date - €154.9 mn. Consolidated net turnover
almost doubled, compared to first 9 months of 2021, when consolidated net
turnover was €78.5 mn. In September 2022, the group expanded its operations
outside of the Baltics, with its PET recycling arm AS PET Baltija, one of the
largest PET recyclers in Northern Europe, completing the acquisition of a
leading Czech fibre producer TESIL Fibres. In January 2023 Eco Baltia also
completed acquistion of Latvian street and road maintance company Pilsetas Eko
Serviss. 

The group companies employ more than 2,300 employees in Latvia, Lithuania, and
Czech Republic. Its leading companies are PET Baltija, Eco Baltia vide,
Pilsetas Eko Serviss, Latvijas Zalais punkts, Nordic Plast, JUMIS, Czech TESIL
Fibres and Lithuania-based Ecoservice. 

Shareholders of Eco Baltia are private equity fund INVL Baltic Sea Growth Fund
(52.81%), the European Bank for the Reconstruction and Development (30.51%) and
management of the company (16.68%). 



INVL Baltic Sea Growth Fund

With a size of EUR 165 million, the INVL Baltic Sea Growth Fund is one of the
largest private equity funds in the Baltics. The European Investment Fund
("EIF") is its anchor investor. 

The EIF, which is a part of the European Investment Bank, has committed EUR 30
million with the support of the European Fund for Strategic Investments (a key
element of the Investment Plan for Europe, or 'Junker Plan') whilst also
allocating resources from the Baltic Innovation Fund, a "fund of funds"
initiative developed in cooperation with the governments of Lithuania, Latvia
and Estonia. The initiative aims to increase capital investment in high-growth
potential small and medium-sized enterprises in the Baltics. 

The fund seeks to assemble a diversified portfolio of companies, targeting
majority or significant minority stakes through investments ranging from of EUR
10 million to EUR 30 million. These companies must demonstrate high growth
potential and an ability to succeed in conditions of increasing global
competition and market volatility. 

The fund is focused on the Baltic countries and neighbouring regions including
Poland, the Nordics, and Central Europe. The fund has invested in seven
companies to date, focusing on sectors including healthcare, medical
rehabilitation, civil engineering, environmental management (plastic recycling
and waste management), veterinary services, and the manufacturing of cosmetics
and hygiene products. 

The fund is managed by INVL, the leading Baltic investment management and life
insurance group. The group's companies manage pension and mutual funds, life
insurance directions, individual portfolios, private equity as well as other
alternative investments. More than 300,000 clients in Lithuania, Latvia and
Estonia plus international investors have entrusted the group with the
management of over EUR 1.75 billion of assets. With a track record spanning 30
years, the group has strong expertise and experience in managing private equity
assets and building true market players that are leaders in their respective
fields in the Baltic countries and across Central and Eastern Europe. 

Important Notice

The contents of this announcement have been prepared by and are the sole
responsibility of the Company. The information contained in this announcement
is for background purposes only and does not purport to be full or complete. No
reliance may be placed by any person for any purpose on the information
contained in this announcement or its accuracy, fairness or completeness. 

This announcement is not an offer to sell nor a solicitation to buy any
securities in any jurisdiction nor a prospectus for the purposes of the
Prospectus Regulation. Any subscription of securities referred to in this
announcement should be made solely on the basis of the information contained in
the Offering Document. The information in this announcement is subject to
change. Before purchasing any securities, persons viewing this announcement
should ensure they fully understand and accept the risks which are set out in
the Offering Document. No reliance may be placed for any purpose on the
information contained in this announcement or its accuracy or completeness.
Persons considering making investments should consult their financial and other
advisors as to the suitability of a possible offer for the person concerned. 


     Additional information:
     Daiga Buca
     Head of Public Relations
     Eco Baltia
     Talr. 26588715
     [e-mail]
     www.ecobaltia.lv