Latvian Prime Minister Andris Kulbergs is expecting additional information and proposals from Economy Minister Viktors Valainis regarding the planned acquisition of shares in SIA Latvijas Mobilais Telefons (LMT) and SIA Tet from Swedish telecommunications company Telia, according to the Prime Minister’s communications adviser, Elīna Šverna.
Last week, Šverna told LETA that Kulbergs and Valainis planned to meet later this week, but the meeting ultimately took place last Friday. For now, the Prime Minister has refrained from providing more detailed comments on the transaction, stating that he is awaiting further information from the Economy Minister.
As previously reported by LETA, a financial and legal advisory team has been selected to support the acquisition of LMT and Tet shares from Telia. The lead adviser is US-based J.P. Morgan.
The advisory consortium includes J.P. Morgan, A&O Shearman, Walless, Deloitte, Tegos, and Hardiman Telecommunications.
Contracts with the advisers were signed at the end of January.
State-owned energy company Latvenergo told LETA that the contract value depends on the outcome achieved, meaning the advisers have a strong incentive to secure the best possible result. Specific contract terms cannot be disclosed because they constitute commercial secrets.
The advisers’ responsibilities include structuring the acquisition of Tet and LMT shares, selecting investors, organizing the completion of the transaction, and developing a future growth strategy together with the companies. They will also conduct comprehensive due diligence reviews of both Tet and LMT. Following the signing of the agreement, the advisers began their work by familiarizing themselves with the two companies.
The advisory team was selected from 16 applicants following a three-month international procurement process. Candidates were evaluated in accordance with legally required security screening procedures.
The transaction for the acquisition of LMT and Tet shares could be completed as early as July this year.
The Ministry of Economics has previously stated that all parties are committed to the agreed timetable, which envisages signing the share purchase agreement in July 2026, completing the transaction, and attracting an additional strategic investor during the second half of 2026.
Telia has signed a memorandum of understanding with the Latvian state, Latvenergo, and LVRTC regarding the sale of all its shares in Tet and LMT.
Currently, the Latvian state, through Possessor, owns 51% of Tet, while Telia subsidiary Tilts Communications holds the remaining 49%.
In LMT, Telia and its subsidiary Sonera Holding together own 49%, while the Latvian side holds the remainder: 23% through LVRTC, 23% through Tet, and 5% through Possessor.
Following the buyout of Telia’s holdings and the introduction of a strategic investor, each party involved in the transaction — Latvenergo, LVRTC, Possessor, and the strategic investor — could ultimately hold approximately 25% of the shares in both companies.
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