On the conclusion of the guarantee service agreement of AB “Ignitis grupė”
AB “Ignitis grupė” (hereinafter – ‘Ignitis Group’ or ‘Company’) informs that on 21 May 2021 the Supervisory Board of the Company approved the conclusion of the guarantee service agreement between the Company and UAB “Ignitis”, based on positive opinion received from the Audit Committee on 20 May 2021 (link), regarding the compliance of the agreement with the market conditions.
Under the guarantee service agreement, the Company shall be obligated to conclude the agreement with NASDAQ Clearing AB regarding the issuing of the guarantee, value of which reaches up to EUR 110 million, in respect of potential obligations of UAB “Ignitis” to NASDAQ Clearing AB while UAB “Ignitis”, in turn, shall be obligated to pay the guarantee service fee to the Company, which meets the market conditions (reported here).
UAB “Ignitis” conducts derivatives trading in the NASDAQ Commodities stock exchange for the purposes of portfolio hedging in order to control risks related to electricity market price.
The guarantee agreement with NASDAQ Clearing AB and the guarantee service agreement with UAB “Ignitis” will be signed in the nearest future. The Company will not inform about it in a separate notice.
For more information please contact:
Head of Public Relations at Ignitis Group
+370 620 76076