Līvlande Agro bond issue

About Līvlande Agro

With history dating back to 1995, Gaižēni SIA (the Company), operating under the brand Līvlande Agro, has grown into one of the Latvia’s leading pig farm operators with a 20% market share in Latvia.

Equipped with vertically integrated modern production facilities in 4 locations in Cēsis and Bauska, the Company sells more than 100 thousand finisher pigs per year.

Company cultivates both its own 1,414 hectare land portfolio as well as 450 leased hectares and uses the crops for its own consumption.

The Company’s management consists of founder and CEO Alex Rasmussen, bringing over 30 years of pig-farming experience, and CFO Dace Stangaine, who has more than 30 years in executive-level finance roles.

Bond proceeds will finance the LBO of the Company by Merito Partners, a leading Latvian investment firm, with management increasing its ownership to ~12.5% to align interests and ensure operational continuity.

The EUR 11.0m bond is secured by EUR 21.3m of real estate (agricultural land, pig farms, and buildings), representing a 51% LTV. The total pledged asset base of EUR 36.8m additionally includes animal stock and inventory (EUR 8.1m), and other Company assets, as well as share pledges over Gaižēni SIA and Pignord SIA.

Additional information: https://signetbank.com/wp-content/uploads/2026/05/Pignord-Teaser-EN.pdf

Website: https://livlande.lv/

Term Sheet

Issuer

Pignord SIA (Transaction SPV)

Security type

Senior secured bonds

Collateral

-Mortgage on real estate properties owned by Gaižēni SIA
-1st ranking commercial pledge on assets and shares of Gaižēni SIA
-Corporate guarantee from Gaižēni, SIA
-1st ranking commercial pledge on the shares of Transaction SPV

Offer type

Private placement

Issue size

EUR 11 000 000 (option to increase to EUR 14 000 000)

Coupon rate & frequency

7.5%, paid quarterly

Term / Maturity

3.5 years

Nominal & min. investment

EUR 1 000 / EUR 100 000

Principal repayment

Maturity date, bullet

Call Option

-Y1 – no call, Y2 – @101%, 6 months before maturity @100%
-Partial call possible (>10% of issue size)

Put Option

Change of Control @101%

Covenants*

-Equity Ratio ≥ 35%
-DSCR ≥ 1.5x
-Net Debt / EBITDA ≤ 4.0x

Use of proceeds

Acquisition of Gaižēni SIA shares

Listing

Listing on Nasdaq Riga First North within 12 months after the Issue Date

Arranger

Signet Bank AS

Legal Counsel

Sorainen ZAB

Collateral Agent

ZAB Eversheds Sutherland Bitāns

* Full list of covenants and undertakings can be found in the Offering Memorandum

Where to invest?