INVL Baltic Sea Growth Fund acquires Eco Baltia

pastic waste

INVL Baltic Sea Growth Fund, the largest private equity investment fund for the Baltic region, has agreed to acquire a controlling stake in Eco Baltia, a plastic recycling and waste collection company.

The European Bank for Reconstruction and Development (EBRD) which currently holds 30.51 per cent of shares will remain the second largest stakeholder in Eco Baltia following the deal.

Eco Baltia is the largest (in terms of net sales) environment management group in the region. The fund and EBRD intend to lead the company on a journey of growth, seeking to create a clear market leader in the Baltics, according to INVL.

“We have a long-term growth plan to invest significant capital and expertise into Eco Baltia and view the company as sitting favourably at the forefront of a thriving circular economy for the Baltic region," said Vytautas Plunksnis, partner at INVL Baltic Sea Growth Fund.

“The world we live in has a duty to promote recycling as we seek to achieve a better level of sustainability and greener targets. With its plastic recycling and waste collection divisions, Eco Baltia is therefore a very exciting company to help achieve these goals,” he added.

Eco Baltia’s group revenues increased by 9 percent to EUR70.62 million last year, with more than 60 percent of its revenues coming from the recycling sector alone.

The group employs more than 800 people and its largest subsidiaries are PET Baltia, Eco Baltia Vide, Nordic Plast and Latvijas Zalais Punkts.

The deal closing is subject to regulatory approval from the Lithuanian Competition Council for merger clearance, with the intention to acquire a controlling stake in the Latvian based Eco Baltia.