AUGA group, RAB (legal entity code 126264360, hereinafter - the Company) announces that on 26 February 2026, the Company signed the Share Purchase and Sale Agreement to sell 100% of RUAB 'Baltic Champs' (legal entity code 302942064, hereinafter - 'Baltic Champs') shares to Global Champs, UAB (legal entity code 307494558, hereinafter - the Buyer).
"The sale of 'Baltic Champs' shares marks the implementation of the first of four key actions from the court-approved AUGA group restructuring plan, which, thanks to the Buyer's motivation, the approach of the responsible authorities, and the goodwill of creditors, we were able to achieve ahead of the scheduled timeline. This action is aimed at restoring the liquidity of the Company and its group companies (hereinafter - the Group), significantly reducing the overall Group debt level, and eliminating the most expensive debt instruments within the Group," says Kestutis Jušcius, Chairman of the Company's Board.
Pursuant to the agreement of the parties, the total purchase price for 'Baltic Champs' shares consists of a closing payment of EUR 5.5 million plus the amount of Company's debt to 'Baltic Champs', which will be paid by the Buyer within 5 business days following the payment by the Company of its debt to 'Baltic Champs' (on the closing date the debt amounts to EUR 2.96 million). Accordingly, the total transaction value is EUR 8.46 million.
In order to settle under the indicated agreement, EUR 5,22 million will be paid to the holders of bonds (ISIN LT0000409104, hereinafter - the Bonds) issued by the Company's directly controlled entity UAB "AWG Investment 1" (legal entity code 301745765) on 27 February 2026, fully redeeming the entire Bond issue (issue size EUR 4.984 million). This amount covers all the obligations under the Bond issue to redeem thereof and to pay the accrued interest up to the redemption date. The remaining funds from the transaction will be used in accordance with the Company's restructuring plan.
The successful completion of this transaction, among other things, means that on the transaction closing date, the financial debt and lease obligations of the Company-controlled Group will decrease by approximately EUR 11.6 million: the UAB "AWG Investment 1" Bond issue will be redeemed, and at the Group level, 'Baltic Champs' financial debt and lease obligations will no longer be consolidated.
Given that both the Company and the sold mushroom growing company 'Baltic Champs' are undergoing restructuring, and that 'Baltic Champs' shares were pledged in favour of the Bondholders to secure obligations under the Bond issue, implementation of the transaction required: (i) consent from the UAB "AWG Investment 1" Bondholders' meeting to sell the pledged assets, (ii) approval from the Company's creditors' committee, (iii) clearance from the Latvian and Lithuanian Competition Councils to implement the concentration, (iv) 'Baltic Champs' creditors' consents regarding the change of control, (v) approval from the National Land Service for the acquisition of a company's shares holding agricultural land plots, as well as (vi) fulfilment of other customary conditions precedent applicable to transactions of this nature.
The best-known companies within the Buyer's group include AS 'Balticovo', one of the leading egg and egg product producers in Northern Europe, and UAB 'BOVO GAS' - a biomethane producer built around circular agriculture principles. With this transaction, the group enters mushroom cultivation, i.e. a new segment that fits naturally alongside its existing agri-food operations. There is also a strong commercial compatibility, because the group works with major retail chains across the EU markets, while 'Baltic Champs' has built a solid presence in the Nordic and Baltic regions. Combining these strengths creates opportunities to grow export volumes and deepen relationships with international retail partners.
'Baltic Champs' has been built on a solid foundation, a professional team, and holds a strong market position in the region. Our intention is to support the company's further development by gradually introducing modern production technologies, improving processes and strengthening operational efficiency. By working together with the existing team, we aim to enhance competitiveness, carefully scale production capacity over time, and create long-term value for employees, partners and customers. We believe this transaction provides a stable basis for sustainable growth and contributes positively to the broader objectives of the group", says Vladimir Mhitarjan, CEO of UAB 'Global Champs'.
As it was noted above, the sale of 'Baltic Champs' shares is one of the four main strategic actions outlined in the Company's restructuring plan. The implementation of this transaction will allow the Group to achieve significant savings in interest expenses, as the redeemed Bond issue carries a very high annual interest rate of 14%. Therefore, completing this transaction will have a dual positive effect - both on the financial flows of the Company and its Group, and on the reduction of the overall debt level. This action directly contributes to the primary objective of the Company's restructuring plan - to ensure the continuity of the Company's and its Group's operations, restore the solvency of the Company and its Group companies, reduce the financial burden, and fulfil obligations to creditors.
Contacts: ?
CEO of AUGA group, RAB
Elina Chodzkaite-Barauskiene
+370 5 233 5340
