MeritaNordbanken increases holding in LIB to 100 %

MeritaNordbanken increases holding in LIB to 100% The MeritaNordbanken Group now holds 100% of the shares in Investment Bank of Latvia (LIB). The Group purchased an additional 20 per cent holding in LIB from the Nordic Investment Bank (NIB) on March 4, 1999 and the remaining 10 per cent from Finnfund today, March 12, 1999. This transaction is in line with the Group's strategy in strengthening its position in the Nordic and Baltic area. As of the beginning of April, LIB's name will be changed to MeritaNordbanken Latvia. MeritaNordbanken is one of the leading banking groups in the Nordic region. A part of its strategy is to expand its operations from the present home markets, Finland and Sweden, to other Scandinavian countries and the Baltic states. Investment Bank of Latvia originally specialized in medium-and long-term financing as well as in investment banking, but its service range has been expanded to include also other banking services. It is now equipped to offer accounts in the local and foreign currencies, and to provide a full spectrum of payment services. Its new electronic banking facilities for corporate customers will be available in April, and cash transactions will become possible this summer. The bank is capable of offering Finnish and Swedish companies a full service and rapid payment transmission within the MeritaNordbanken Group. Investment Bank of Latvia has a share capital of LVL 5,298 million. Last year it was the 13th largest bank in Latvia in terms of total assets. Its bonds are being traded through the Riga Stock Exchange. Investment Bank of Latvia was established in 1992 for the purpose of developing investment financing services in Latvia. One of the founding shareholders was the Government of Latvia. In 1997, Merita Bank, Finnfund and the Nordic Investment Bank formed a shareholder consortium, in which connection Merita Bank became a majority shareholder in LIB. Further information: Hannu Halttunen, First Vice President, International Network, tel. (358-9) 165 53247 ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/03/12/19990312BIT00200/bit0001.doc http://www.bit.se/bitonline/1999/03/12/19990312BIT00200/bit0002.pdf