The European Commission (EC) gave its final approval on Thursday national stadium construction in Vilnius for amendments to the concession agreement, the project from the investment company "BaltCap" intending to take over real estate development companies "Males"owner Arvydas Avulis says that he intends to start construction immediately, this summer, as soon as he takes over the shares from the former project developer and completes other formalities.
"When the municipal council confirmed a year and a half ago that we can take over this project and build a stadium, our obligations are valid. The next step that would enable us to do this is to take over the shares of the BaltCap company (Venetus Capital - BNS), the company that has the authority to implement this project. To date, we have only declaratively agreed," A. Avulis told BNS.
"We need to take over the shares of this company, and once we take them over, we will immediately start building," he added.
A. Avulis confirmed that he will likely take over the shares from BaltCap for 1 euro, but after the stadium is built, he will return to the company the approximately 6 million euros it invested.
"Since the company (Venetus Capital - BNS) is insolvent and cannot complete this project, its share price is usually 1 euro," explained the owner of Hanner.
"We have also agreed that what it has provided (BaltCap - BNS) - about 6 million euros - was made at certain costs - that we will return that money when we complete the project (...). I think it is fair that the money that was spent should be returned. We just don't want to do it now, but when we complete the project," the businessman added.
BaltCap announced at the end of 2023 that it had invested 8,1 million euros in the design and construction of the National Stadium.
A. Avulis assured that once the share transfer issues are sorted out, Hanner could begin construction in the summer, and the project implementation is scheduled for 30 months (2,5 years) - so it would be completed in 2027: "I can't say the exact date, because I don't know when we will be able to approve those shares and when we will take over the company."
According to A. Avulis, the procedures may take some time because the company being taken over needs to be inspected "knowing that the company's manager Šarūnas Stepukonis (head of the BaltCap infrastructure fund responsible for the project - BNS) was also involved and committed illegal actions", so it will be necessary to carefully check "whether there are still any mines or bombs left there that could blow us up".
"We want to do everything as quickly as possible. We would like to reach an agreement in one day and start the next day, but that's probably not very realistic," said A. Avulis.
He confirmed that he would like to continue the project with the former contractor, Naresta: "We like this company, we believe it is capable and can complete the project as it started."
A. Avulis reiterated that an agreement has been reached with an unnamed bank on a 100 million euro loan for the complex project.
Last August, the Vilnius City Council approved changes to the complex's concession agreement - after changing the risk sharing, the project will cost the municipality and the state about 155,1 million euros.
Vilnius city municipality then agreed with the indexation alternative presented by VPT, according to which 7,4 million euros of assets would not be indexed, and in addition, the project risk for the municipality would be reduced and the risk for the concessionaire would be increased.
A. Avulis has said that the shares of Venetus Capital, the main shareholder of the stadium concessionaire company Vilnius Multipurpose Complex, would be bought out from BaltCap only when the issue of the conclusions of the Public Procurement Service (VPT) is resolved and the amendments to the project contract are approved by the EC.
Vilnius Municipality and the Ministry of Education, Science and Sports signed a 2021-year concession agreement with the company "Vilnius Multipurpose Complex" in October 25, and construction began in the fall of 2023 by the company "Naresta". They are currently suspended.
The author is Roma Pakėnienė
