TGS Baltic assisted Šiaulių Bankas on the implementation of „SB Modernization Fund 2“ as securitisation vehicle

21.03.2024 TGS Baltic assisted Šiaulių Bankas on the implementation of „SB Modernization Fund 2“ as securitisation vehicle

On March 21, 2024, the „SB Modernization Fund 2“ was established as a securitization vehicle and a subsidiary of Šiaulių Bankas to finance the renovation of multi-apartment buildings. UAB „SB Modernization Fund 2“ signed the financing agreements with the European Investment Bank (EIB), acting as Lithuanian national funds manager, Swedbank AB, the European Bank for Reconstruction and Development (EBRD), Šiaulių Bankas, and SB Asset Management, an asset management company.

As a result, the state provided a loan of 40 million EUR. through EIB, Swedbank – 95 million EUR, EBRD - 25 million EUR, Šiaulių Bankas – 32.5 million EUR, and 7.5 million EUR were loaned from the pension funds managed by SB Asset Management.

With this fund, the renovation would be implemented for up to 300 apartment buildings, which will positively affect about 10,000 families in Lithuania.

The „SB Modernization Fund 2„ is the second fund established by Šiaulių Bankas with the help of EIB. In 2022, the first 275 million EUR "SB Modernization Fund" was successfully established, and the funds were used to renovate 395 apartment buildings.

TGS Baltic team of partner Dalia Augaitė and legal assistant Gabija Šidlauskaitė assisted Šiaulių Bankas on the fund's implementation.

More information about the project (EN): https://bitly.ws/3gIf5