Loki? Do you mean Hrist?

Llewyn, Arngrim and Mystina worked with Hrist in the decapitation of Barbarossa in the past.

Which begs the question, why is Arngrim in the same party as the daughter of the man he had a hand in murdering. Perhaps he has a change of heart, or switches sides. I don't know about that, though, for if that were the case, I don't think Brahms would have found it ironic when Arngrim faces off against Hrist in Valkyrie Profile.

Ah well, not much we can do but speculate at this point.