Swedish bank SEB has decided to merge its operations in the Baltic states into a single legal entity, the company said December 18.
“By combining three entities into one, and thus creating a larger entity, the objective is to further support customer growth in the region and to simplify the corporate governance. SEB’s banking operations will continue as usual in all three Baltic countries; Estonia, Latvia, and Lithuania,” the bank said.
The consolidated legal entity will be domiciled in Estonia, with branches in Latvia and Lithuania.
“This change will deliver clear benefits to our corporate customers, as the bank will be better equipped to cater for the increasing number of long-term and large-scale projects across the Baltics,” said Niina Äikäs, Head of the Baltic Division at SEB.
“SEB has a long-term commitment to the Baltic region and is determined to continue developing its business here,” she added, promising that customers would “benefit from a simplified governance structure”.
Subject to regulatory approvals, including permissions from local financial supervisory authorities and the ECB, the new legal structure is expected to be operational by beginning of 2027.
In 2023 SEB Group Latvia had revenues of EUR 246 million and an operating profit of EUR 152 million. Total deposits were worth EUR 4.5 billion, the total loan portfolio was EUR 3.3 billion and assets were worth EUR 5.6 billion alongside equity of EUR 611 million.
