The Longo Group is the largest Latvian-owned used car dealer in the Baltic States, and it is planning to expand in Lithuania after issuing a EUR 10 million bond issue, CEO Edgars Cerps has announced. He says that Lithuania is the company’s next big market.
“Lithuania is important for the company, because we earn almost half of our revenue there,” Cerps explains. “Lithuania has the biggest population and the biggest number of cars. In addition, Lithuania’s economy is growing and appears to be much better than the economy in Estonia or Latvia.” The expert was speaking at an investor seminar on Thursday.
“We plan to expand geographically in Lithuania,” he declared.
The Longo Group will use bond proceeds to finance expansion by buying new cars and expanding its network. The projection is for an increase in revenue to EUR 160 million by 2028.
The group generated EUR 47.8 million in revenues in 2023, with EUR 22.6 million during the first half of the year. This was 8% down year-on-year. EBITDA grew by 9% to EUR 620,000.
During the first half of the year, car sales in Lithuania accounted for 48% of Long Group revenues, followed by Latvia (27%), Estonia (20%) and Poland (5%).
Long Group repairs and cleans used cars bought in Germany, the Netherlands and Belgium at a base in Panevezys, Lithuania.
The group was established in 2018 and has nine subsidiaries in the Baltic States, Poland, the Netherlands, Belgium and Germany.
Source: BNS
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