The Latvian and Lithuanian Competition Councils have approved the acquisition by Latvian Mobile network operator company SIA Latvijas Mobilais Telefons (LMT) of Baltic data transmission network and IT security products group Santa Monica Networks (SMN) from Livonia Partners. Thus LMT has become the owner of 100% of the shares in SMN.
A joint press release said that this transaction will allow both companies to introduce the 5th generation network solutions faster and more efficiently. Both companies expect to continue operating as separate legal entities. The transaction still needs to be reviewed by the Latvian and Lithuanian competition supervisors.
Juris Binde, the President of LMT, said: "LMT is no longer just a communications operator, as we use various IT solutions to deal with complex business transformation tasks. With Santa Monica Networks, we share the innovator DNA. By combining LMT's experience in mobile communications with the capacity of an experienced developer of data transmission networks and IT security solutions, we will become the leader of digital transformation. Together, we will become the best partner in digitization processes for any public body or private company."
Uģis Bērziņš, Chairman of the Board of SMN said: "For many years, we have driven innovation by introducing the latest technologies in the business environment of Latvia. Together with LMT, we will be able to take another step into the future by developing various 5G business solutions and extending the range of our customers who will enjoy access to the most advanced technologies and corporate technology solutions."
Livonia Partners expressed its satisfaction at the successful conclusion of the deal. “We are delighted to have had the opportunity to support the Santa Monica Networks team with capital and knowledge on the road to leading positions within the network solutions market. We are convinced that as part of the LMT Group, the company will scale new heights,” said Kristīne Bērziņa, founder and partner in SMN’s erstwhile owner, Livonia Partners.