The financial services group Indexo has reached an agreement with the pension management company Vairo on a share purchase transaction, according to an announcement to the Nasdaq Riga Stock Exchange.
Completion of the deal requires approval from the Bank of Latvia, as well as from the shareholders of both companies.
Ieva Bauma, a member of Indexo’s board, told LETA that Indexo would not disclose the value of the deal due to a confidentiality agreement between the parties.
Under the agreement, Indexo will acquire 100% of Vairo’s shares. As a result, Indexo will take over the management of all Vairo’s investment plans, which will continue operating within the Indexo Group. Clients of Vairo do not need to take any action related to the transaction.
Indexo’s shareholders will decide on Friday at an extraordinary meeting on the issuance of new shares and raising capital to finance the acquisition.
The transaction is expected to be completed within the next few months, with Vairo’s operations gradually integrated into Indexo.
“We are two financial companies founded by local entrepreneurs, and we have decided to join forces to continue challenging a market dominated by foreign financial institutions,” said Valdis Siksnis, one of Indexo’s founders and chairman of the board.
He also noted that integrating Vairo into the Indexo Group would further intensify competition in both the pension and banking sectors.
The company reports that before the transaction, Indexo had more than 144,000 clients and managed pension investments totaling approximately EUR 1.34 billion. Vairo, meanwhile, has around 14,000 clients and manages pension investments worth EUR 87 million.
Indexo was established in 2017. Its shares are listed on the Nasdaq Riga Main List.
In 2024, Indexo posted investment-related losses of EUR 5.382 million, an increase of 85.7% compared to 2023.
Vairo was registered in April 2023 with share capital of EUR 1,850,000.
Source: BNS
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