The  consortium  lead  by  the Riga Stock exchange has submitted to the

Latvian  Privatisation  Agency,  for its Management Board approval, the

recommendable  price  spread  for  Latvian  Shipping  Company  (LASCO )

shares,  to  be  offered  for  cash  at  the domestic and international

markets.  For the domestic tranche, the recommended bottom price is LVL

0.30, and the top price - LVL 0.45 per share.

For the international tranche, the recommended bottom price is USD 0.48

and the top price - USD 0.72 per share. The price spread, the breakdown

between  the domestic and international offering, and the timing of the

public  offering  still  has to be approved by the Privatisation Agency

Management Board. 



Guntars Kokorevičs, President, Riga Stock Exchange

:  "The  recommended  price  spread  is sufficiently wide, according to

international  IPO  practices.  This  provides incentives for financial

investors;  it  also opens up an opportunity for the strategic investor

to offer a higher price for LASCO shares."



The  domestic tranche will take place from June 12 till June 25, 14:00,

which  is  the deadline for submitting the bids. Latvian residents will

be  able  to  bid for the shares by submitting their orders to the Riga

Stock   exchange   members   -   banks  and  brokerage  companies.  The

international  tranche will take place from June 17 till June 15, 14:00

(Latvian  time).  Foreign  investors  will be able submit their bids to

Williams  de  Broe  . LASCO share auction at the Riga Stock Exchange is

scheduled for June 25.



The  price spread, recommended by the consortium lead by the Riga Stock

Exchange,  is  the  result  of  pre-marketing done by the international

investment  bank Williams de Broe and brokerage company Suprema, and is

also based on due diligence of LASCO. 



The  interest displayed by the investors during the pre-marketing gives

an  indication  that,  in  terms  of volume, domestic and international

investors   are   approximately   equally  interested.  Therefore,  the

breakdown  of  shares  to  be  offered  to  domestic  and international

investors,  still to be approved, is expected to be approximately equal

proportions.



Background information.

The  consortium,  set  up for the purpose of handling the cash sales of

51% of state-owned shares in LASCO, is lead by the Riga Stock Exchange.

The  entities in the consortium are: Williams de Broe, an international

investment  bank;  Suprema,  an  investment  banking  services provider

across  the  Baltics;  as well as: Gouldens Solicitors, a legal advisor

from  the  United Kingdom; PriceWaterhouseCoopers, an international and

local  accounting  and  audit consultant; Bļugers &Plaude and Leimanis,

Gulbis & Partneri - local legal advisors. The task of the consortium is

due diligence of the Company, valuation and preparation of all offering

documents,  as  well  as  marketing,  identification  of  the potential

investors, running roadshows. As a result, LASCO shares will be offered

publicly and later listed on the Riga Stock Exchange.

  



Additional information:

Krista Grintale

Marketing and Information Department

Riga Stock Exchange

Phone + 371 7212431