Shareholder structure

In total our shareholder base concludes more than 14 thousand institutional and retail investors.

The Republic of Lithuania (authority implementing shareholder’s rights – the Ministry of Finance of the Republic of Lithuania, Majority Shareholder) own 74.99% of the parent company’s share capital, with the remaining lying with institutional investors (16.63%) and retail investors (8.38%).

There are no other shareholders who own more than 5% of Ignitis Group share capital.


Majority Shareholder

The management of the Majority Shareholder shares of Ignitis Group shall be carried out in accordance with the Law on Companies, which establishes the property and non-property rights and obligations of all shareholders, the Description of the Procedure of the Implementation of State Property and Non-Property Rights in State-Owned Enterprises approved by the Resolution No 665 of the Government of the Republic of Lithuania of 6 June 2012 (the Property Guidelines), and the Articles of Association of the parent company.

Letter of expectations

Majority Shareholder competence

One of the corporate governance principles outlined in the Corporate Governance Guidelines is the exercise of the rights conferred by shareholders' shares, which is set to ensure that the Majority Shareholder exercises the voting rights attached to the shares within its competence and undertakes its best effort to ensure that Ignitis Group and its group are able to operate independently, i.e., the Majority Shareholder:

‒shall not take actions that could prevent Ignitis Group and its group from conducting business independently;

‒shall not influence the day-to-day running of Ignitis Group business or hold or acquire a material shareholding in one or more significant subsidiaries of the group;

‒shall not take any action (or refuse to take any action) which would be prejudicial to Ignitis Group’s status as a listed company or the parent company's eligibility for listing, or would reasonably prevent Ignitis Group from complying with the obligations and requirements established by law applicable to listed companies;

‒shall conduct all transactions and ensure relationships with the group on market basis (on an arm's length terms) and on a normal commercial basis;

‒shall not vote in favour of, or propose, any decision to amend the Articles of Association of Ignitis Group, which would be contrary to the principle of independence of the Ignitis Group’s business;

‒shall vote in a manner that ensures that the management of Ignitis Group complies with the principles of good governance set out in the Corporate Governance Code.

Expectations of Majority Shareholder

In accordance with the Property Guidelines (link in Lithuanian), the Majority Shareholder releases a Letter of Expectations to the parent company at least once every four years on the objectives pursued by the Majority Shareholder in the SOE and its expectations. With that in mind, the Letter of Expectations in relation to the activities of the Group was approved by the Order of the Minister of Finance of 13 April 2018, with the last amendment supporting the Group’s strategy published on 17 February 2021.

In this letter, the Majority Shareholder indicates the following expectations of the group’s 

strategic priorities:

– to ensure the increase in reliability and development of the electricity distribution network; 
– to ensure a reliable and flexible Lithuanian energy system and its development by contributing to the implementation of changes in the energy sector in Lithuania and in the region;

– to expand green generation by contributing to Lithuania's and regional commitments to increase electricity generation from renewable energy sources;

– to develop innovative solutions and to actively seek new opportunities for profitable

development of activities;

– to ensure sustainable development of the activities of the group:

– to follow the principles of environmental social and good corporate governance practices (including the criteria of transparency of activities of the SOEs);

– to contribute to achieving the sustainable development goals of the United Nations by giving priority to those Sustainable Development Goals (SDG) which are affected by the Group’s activities the most;

– to consistently reduce greenhouse gas emissions.