Latvia’s EUROCASH1 is expanding its activities in Latvia by acquiring the company CBL Cash Logistics

EUROCASH1, a provider of money collection and security services in Lithuania and Latvia, is expanding its activities in Latvia by adding SIA CBL Cash Logistics to the EUROCASH1 Group. This step by EUROCASH1 is aimed at creating a strong money collection company that will provide its services in all of the Baltic States and become one of the leaders in the market.

“EUROCASH1 is one of the leading enterprises in its field in Lithuania; while SIA CBL Cash Logistics is one of the biggest enterprises to provide money collection services in Latvia. By joining the experience of both companies and their awareness of the market in the Baltic States, the Group will ensure the provision of professional services to its customers at a wide network of customer centres in both Latvia and Lithuania. The main changes that will affect our customers will include a broader geographical access and a wider composition of services,” stated Vytautas Labeckas, Manager of EUROCASH1.

EUROCASH1 offers security and money selection services in Lithuania and Latvia. The enterprise has more than 1000 employees in these countries, and its income in 2016 exceeded 13.5 million euros – including 9.3 million euros in Lithuania and 4.2 million euros in Latvia. In 2015, the company’s income was 10.6 million euros (8.5 million euros in Lithuania and 2.1 million euros in Latvia).

EUROCASH1 has been operating in Lithuania since 2000; while it started its activities in Latvia in 2011, and has ensured a country-wide provision of physical and technical security services. EUROCASH1 has also been providing money collection services in Latvia since 2012. Now, the merger of CBL Cash Logistics and the EUROCASH1 will create a Group with the preconditions for the further development of money collection services in Latvia and their development in all the Baltic States.

SIA CBL Cash Logistics is a subsidiary of the Citadele Group, which provides money collection services and operates within an extensive country-wide money collection network in Latvia. SIA CBL Cash Logistics has initiated the process for the changes in ownership, which will enable the Citadele bank to focus on its priority areas of business – servicing and financial lending to private persons and to small and medium-sized enterprises.

The process for the changes in ownership will be completed after a common position is established on the relevant issues of a technical and commercial nature, which will then enable the further cooperation of the parties. It is anticipated that the merger of the enterprises and the modification of its name will start after changing the ownership, which is expected to happen in the autumn of this year. During the transitional period, CBL Cash Logistics and EUROCASH1 will continue to provide their present services to their clients without any changes.

The financial details of the transaction have not been published.