Lithuanian energy companies Lesto and Lietuvos Dujos to be merged

Reorganisation of public limited liability company Lesto and public limited liability company Lietuvos Dujos was discussed and approved by the boards of both companies on 31 August 2015, Lesto reports.

The companies are planned to be merged and a new company, AB Energijos Skirstymo Operatorius (ESO), established on the basis of the reorganised companies.

The general meetings of shareholders of Lesto and Lietuvos Dujos will take a decision on the reorganisation of Lesto and Lietuvos Dujos, on the approval of the reorganisation terms and other related issues in accordance with the procedure established in the legislation of the Republic of Lithuania. The new company which will be incorporated and will commence its activities after the reorganisation is ESO.

The shares of Lesto and Lietuvos Dujos will be exchanged for the shares of ESO.

ESO will immediately apply for the issuance of the electrical energy distribution license, license for public supply of electrical energy and natural gas distribution license after its registration with the Register of Legal Entities.

ESO will take over all fixed and current assets of Lesto and Lietuvos Dujos also long-term and current financial and other liabilities, accounts receivable and payable in accordance with agreements concluded by Lesto and Lietuvos Dujos or obligations arising on other grounds. ESO will also take over all rights to licences, permits and certificates used by Lesto and Lietuvos Dujos, if legislation provides for the possibility to transfer such rights, and other rights and obligations of Lesto and Lietuvos Dujos assumed according to other transactions and obligations arising on other grounds (including the rights and obligations under collective and employment contracts, funds kept in bank accounts of Lesto and Lietuvos Dujos, agreements with the newest and existing consumers of electrical energy and gas distribution services, producers of electrical energy, independent suppliers, also suppliers of goods, services and (or) works) and rights and obligations under other documents drawn up by Lesto and Lietuvos Dujos (technical specifications, design specifications, etc.), except for those rights and obligations of Lesto and Lietuvos Dujos which are prohibited to be transferred or which cannot be transferred to another person during the reorganisation in accordance with the imperative provisions of the Republic of Lithuania.

The intended commencement of ESO’s activities after the takeover of the transferred assets, rights and obligations from Lesto and Lietuvos Dujos is 1 January 2016.