One of Latvia’s best-known liquor brands faces an uncertain future as Riga Black Balsam’s producer weighs insolvency

The board of Amber Latvijas balzams has called a shareholders’ meeting for November 3 to consider whether the company can continue operating and whether to begin insolvency proceedings. The decision will take shareholders’ proposals into account.

In early October, Amber Latvijas balzams asked the Riga City Court to end its legal protection proceedings.

The company sought court protection in early 2026 after accumulating more than 28 million euros in unpaid taxes owed to the state.

The company attributed its debts to “external problems that have been mounting for years”: the seizure of Amber Beverage Group assets in Russia, a major cyberattack on the company, and “challenges” in global spirits markets.

Under the proceedings, Amber Latvijas balzams was required to develop a debt repayment plan and secure approval before October. Among other provisions, the plan called for repaying in full the principal owed to secured creditors, including the State Revenue Service, Latvia’s tax authority, as well as to suppliers.

The plan was not approved. Amber Latvijas balzams said MBO Beverages, which had acquired debt owed by the Riga Balsam producer from other major creditors, was among the factors that influenced the decision on the plan.

Amber Latvijas balzams said that since the protection proceedings began, it had paid 20.4 million euros in current taxes and had accumulated no new overdue debts. Production in Riga continues.

Amber Latvijas balzams produces Riga Black Balsam, one of Latvia’s best-known alcohol brands. The company is part of billionaire Yuri Shefler’s international Amber Beverage Group.

Meduza’s informal, subjective award is named after Riga Balsam. Each year, the newsroom compiles a list of journalistic pieces that its staff members enjoyed. Those whose work makes the list receive a bottle of Riga Balsam.