On November 3, 2026, the board of Amber Latvijas balzams will convene shareholders in Riga to decide the immediate future of the historic company, including whether to initiate insolvency proceedings, Meduza reported.
The meeting arrives as the producer of Riga Black Balsam faces mounting financial pressure following failed court protection proceedings. In early October, the company asked the Riga City Court to end its protection status after accumulating over 28 million euros in unpaid taxes owed to the state.
Mounting Debts and Unapproved Debt Plans
Amber Latvijas balzams sought court protection in early 2026 to address liabilities that company representatives attributed to long-standing external problems. These issues included asset seizures in Russia, a major cyberattack, and broader challenges across global spirits markets.
Under the terms of the protection proceedings, the company was required to develop a comprehensive debt repayment plan and secure formal approval before October. The proposal called for repaying the principal owed to secured creditors in full—including the State Revenue Service, Latvia’s tax authority—alongside payments to suppliers.
Ultimately, creditors and stakeholders did not approve the plan. Amber Latvijas balzams stated that MBO Beverages, which acquired debt owed by the Riga Balsam producer from other major creditors, directly influenced the decision to reject the proposal.
Ongoing Production Amid Fiscal Strain
Despite the looming insolvency vote, operational activity at the enterprise continues. Amber Latvijas balzams noted that since the protection proceedings began, the company has paid 20.4 million euros in current taxes and has accumulated no new overdue debts.
Amber Latvijas balzams produces Riga Black Balsam, one of Latvia’s best-known alcohol brands. The company operates as part of billionaire Yuri Shefler’s international Amber Beverage Group.
