Meteva Investment Group wholly owned by investor Trond Mohn sharply entered the red last year.
Bergen’s richest man group achieved a pre-tax result of -1.5 billion in 2021, versus a positive result of NOK 543 million for 2020, annual accounts for 2021 show.
The financial result is strongly affected by the devaluation of some financial assets. It is the company’s exposure in ERH AS that contributes negatively. The company’s annual report notes that the Russian invasion of Ukraine has a negative impact on large parts of ERH AS’s business, as the business is directly affected by Russian attacks.
ERH AS, referred to, is the company formerly known as Emergy, but changed its name in connection with a restructuring in the spring of 2022.
Shares shrank by 2 billion
In a series of major reports, DN has revealed how Arctic Securities, one of Norway’s leading brokerages, has struggled for years with the fact that a very large percentage of the brokerage’s shares have been tied up in the crisis-hit wind turbine company. Emergency.
Since the birth of the Arctic, Emergy has been on the star-studded list of brokerage clients. For several years, the largest owners of the wind turbine company were hidden in the brokerage account of Arctic Securities.
But this winter, DN was able to reveal that Trond Mohn was the largest shareholder hiding behind an Arctic brokerage account. He is also the largest owner of the brokerage house.
This summer, Finanstilsynet concluded that Arctic Securities had circumvented strict capital requirements with the help of futures contracts and customer credit. The inspectorate described the violations as serious.
In the FSA report, Emerge’s Trond Mohn futures contract was found to have been written down for NOK 420 million. At the time, Arctic Securities renewed contracts at unchanged rates for several years, despite what the inspectorate called “extremely negative economic development” at the company.
Meteva’s annual calculations show that the exposure in Emergy was actually much higher than just the futures contract.
Calculations show that Meteva made reductions on both NOK 455 million worth of forward equity and NOK 780 million receivables.
Equity in the group was NOK 3.6 billion last year, down from NOK 5.6 billion in 2020.
Emergy also has billions in debt, which the company has so far been unable to service. It is not known who loaned the money to Emergy, but Mohn’s loss of NOK 780 million on receivables indicates that Mohn also took large portions of the loans on his books because other lenders ran away from Emergy. “It is the company’s exposure in ERH AS that contributes negatively,” Meteva wrote in the annual report.
Billion losses in stocks and bonds
Mohn lost more than 2 billion crowns in stocks and bonds last year. Some of the losses were offset by $600 million in profits on currency futures.
Other popular investors in Emerge also hit money after the wind turbine company’s collapse. Lars Nielsen, heir to Block Wathne, posted a loss of over NOK 100 million in 2021. Investor Tore Aksel Voldberg lost NOK 200 million in a strongly bullish stock market that same year.
DN was unsuccessful in obtaining comment from Trond Mohn on Monday night.(Conditions)Copyright Dagens Næringsliv AS and/or our suppliers. We would like you to share our cases using links that lead directly to our pages. All or part of the Content may not be copied or otherwise used with written permission or as permitted by law. For additional terms look here.
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