Polish tire waste recycling group Recykl Group is entering Lithuania - for an undisclosed amount, it has acquired the Kaunas company Antrinio perdilimo grupė, indirectly controlled by two individuals, which manages the Tirebee brand.
The companies announced on Monday that they had signed purchase and sale and investment agreements, under which Recykl Group acquired 100 percent of the shares of the Lithuanian company, while the Lithuanian company acquired an undisclosed portion of the shares of the Polish company. The agreements do not exclude the possibility of building a factory in Lithuania in the future.
"Not only were 100 percent of the shares of the Recycling Group sold, but also shares of Recykl Group were acquired, which will allow us to have a direct impact on the improvement and quality of services provided to tire manufacturers and importers operating in the Lithuanian market," said Andrius Markevičius, the new director of the Recycling Group, in a statement.
Maciej Jasiewicz, Chairman of the Board of Recykl Group, said that this was the first foreign investment project for the Polish group.
"The acquisition of the Lithuanian company not only means greater independence from raw material supply, ensuring uninterrupted production, but also opens up opportunities to reach new customers faster and take a strong position in the regional market. We will achieve this goal by investing additionally in the development and improvement of the waste tire collection network," said M. Jasiewicz.
According to the report, Recykl Group's planned investments in Lithuania will amount to approximately EUR 1 million, and total investments in development in the Baltic region and Germany will amount to approximately EUR 6 million. In addition, consolidation of the Baltic markets and the start of operations in Scandinavia are possible.
The companies have been cooperating since 2012, and the Polish company has become the main partner of the Lithuanian company - last year, 70 percent of tires collected in Lithuania were delivered to Recykl Group factories, which could process the entire amount of tire waste generated in Lithuania per year.
It is said that Recykl Group is the largest company in this business in Central and Eastern Europe, it collects and processes about 50 percent of Polish tires in three factories - 140 thousand tons per year, such a quantity is generated in Lithuania in 5-6 years.
The Recycling Group's report submitted to the Centre of Registers indicates that its net profit in 2023 grew almost threefold to EUR 0,47 million, and revenue grew by 30 percent to EUR 2,6 million. According to Sorda, the company employs 12 people.
100 percent of the shares of the Recycling Group were previously owned by the company Ecomodus, which is owned by Girmantas Juknys (60 percent of the shares) and Manvydas Pačėsas (40 percent), according to data from the Center of Registers.
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