Category: Czech Republic

Allen & Overy has advised sole global coordinator Wood & Company Financial Services on a CZK 366 million block trade disposal of Ceska Zbrojovka Group shares by Colt shareholders. Debevoise & Plimpton reportedly advised TXPATCH8445 Holdings, which represented Colt’s shareholders in the transaction.

The shares were sold through an accelerated bookbuilding process. Colt’s shareholders had acquired the CZG shares through Ceska Zbrojovka Group’s acquisition of Colt, earlier this year (as reported by CEE Legal Matters on June 7, 2021).

According to Allen & Overy, “in the accelerated bookbuilding process, targeted only at selected investors meeting certain criteria, 770,057 ordinary shares of [CZG], representing 2.3% of the company’s share capital and total number of votes in the company, were sold. The offer price achieved in the ABB was CZK 476 per share and the total aggregate proceeds of the block trade was approximately CZK 366 million.”

Allen & Overy’s team included Prague-based Partner Petr Vybiral and Junior Lawyer Denisa Jonasova, US-based Partner Adam Wells, and UK-based Associate Philip Whitehead.

Kocian Solc Balastik has advised the AI Startup Incubator fund on investing in AssetFloow.

According to KSB, “AssetFloow developed the first sensorless software that combines AI technology and game theory to develop a model of human behavior inside a store. Using anonymous sales data and the store’s layout, it can measure and analyze with high precision how different types of shoppers move and interact with products in a brick-and-mortar store. The company, headquartered in Lisbon, Portugal, plans to enter the Czech market and expand overseas.”

AI Startup Incubator is a Czech investment fund focusing on early-stage AI startups.

KSB’s team included Lawyers Ota Mach and Josef Kriz.

KSB did not reply to our inquiry on the matter.

Glatzova & Co has advised Czech apparel and fashion company Kara Trutnov on the approval of the reorganization plan within its insolvency proceedings.

The reorganization plan was prepared by Kara’s creditor, the Natland investment group, and was approved by the Hradec Kralove Regional Court on November 8, 2021.

The court’s decision “means, among other things, maintaining the company’s operations,” Natland informed. “In addition, Natland still intends to finance litigation against certain persons responsible for Kara’s bankruptcy in order to obtain the proceeds for unsecured creditors.”

According to Glatzova & Co, “although the court decision approving the reorganization plan is not yet final, we dare to assume that Kara Trutnov’s business is preserved and the creditors will receive payment for their receivables within one year of the commencement of insolvency proceedings.”

The Glatzova & Co team was led by Partner Martin Dancisin.

Clifford Chance has advised J&T Banka on providing real estate financing to Crestyl Commercial Investment. Dentons reportedly advised Crestyl on the deal.

Crestyl is a Czech developer with a portfolio of residential and commercial projects, including Dock – a Prague complex of residential and office buildings, shops, cafes, restaurants, with its own marina.

J&T Banka is a private investment bank located in the Czech Republic.

Clifford Chance’s team was led by Partner Milos Felgr and included Senior Associate Hana Cekalova, Associate Tereza Rehorova, and Junior Lawyer Tomas Kubala.

Former Clifford Chance Senior Associate Pavel Bogusky has joined the Restructuring, Insolvency, and Bankruptcy practice of Dentons’ Prague office as a Partner.

According to Dentons, “Bogusky brings extensive experience in restructuring, insolvency and bankruptcy, banking and finance, as well as litigation. He has advised on several major insolvency cases, multijurisdictional restructuring transactions, as well as complex insolvency-related litigations in front of the Czech Supreme Court and Czech Constitutional Court.”

Prior to joining Dentons, Bogusky spent over seven years with Clifford Chance. He is a graduate of Charles University in Prague and has an LL.M. from the University of Groningen.

“I am truly excited to join one of the most renowned restructuring teams on the Czech market. I am looking forward to helping contribute to the firm and its future successes,” Bogusky said.

“It is with great pleasure that we welcome Pavel to our team,” added Czech Republic Managing Partner Petr Zakoucky. “His recruitment adds momentum to our strategy to attract and nurture young talent in key practice areas.”

“We are delighted to have Pavel on board,” Head of the Restructuring, Insolvency, and Bankruptcy team in Prague, Jiri Tomola, said. “He is an extremely talented lawyer with a great combination of restructuring and banking and finance experience that will create a synergy with our existing team and add value to our offering for clients, especially in the current uncertain market situation.”

Clifford Chance has advised Komercni Banka on financing J&T Agriculture and Ecology Holding’s acquisition of agricultural holding Farma Neznasovy (formerly Cesky Real). Kocian Solc Balastik advised J&T on the deal.

According to Clifford Chance, “Farma Neznasovy is an agricultural holding specializing in crop production and livestock farming. The company manages 1,200 hectares of land and 1,000 head of cattle. This acquisition is another part of the building of a new agricultural leg within the J&T Real Estate group, which started with the acquisition of agricultural holdings Statek Sobetice and Zdar Chudenice.”

Clifford Chance’s team was led by Senior Associate Dominik Vojta and supervised by Partner Milos Felgr.

KSB’s team included Partner Martin Krejci, Counsel Ivo Prusa, and Junior Associate Filip Sperl.

Editor’s Note: After this article was published, KSB announced that it had also advised J&T Real Estate on the acquisition transaction, in addition to financing. The firm’s team additionally included Partner Jiri Hornik, Lawyer Jakub Porod, and Junior Lawyer Zuzana Slaba.

Havel & Partners has advised Czech mobile device accessories manufacturer and distributor Fixed.zone on its initial public offering of shares on the Prague Stock Exchange’s Start Market.

“The results of the two-week public offering showed that the total number of orders almost three times exceeded the offered 222,000 shares,” Havel & Partners informed.

The Ceske Budejovice company Fixed.zone develops and manufactures chargers, holders, cases, and other accessories for phones and tablets.

According to the firm, through the IPO the company wants to support its further growth, expansion into new European markets, and the development of innovative products.

“The results of the IPO are a huge surprise for us. We are pleased that there was such an extraordinary interest in our shares, especially among Czech investors. It is a great commitment for us,” commented Fixed.zone Founder Daniel Havner.

The Havel & Partners team consisted of Partner Jan Topinka, Managing Associate Jiri Kunasek, Senior Associate Martin Stancik, and Associate Josef Bouchal.

DLA Piper has advised BAE Systems on its acquisition of Bohemia Interactive Simulations from the Riverside Company. Jones Day advised Riverside on the deal.

The transaction remains contingent on regulatory approval.

The Riverside Company is a private equity firm focused on investing in growing businesses valued at up to USD 400 million. Bohemia Interactive Solutions is a Czech software company operating in the military training and simulations market. BAE Systems is a defense contractor.

“During our partnership with Bohemia, we have developed an enormously strong working relationship,” Riverside Partner Martin Scott commented. “We have helped them expand from a single-product company to a three-, soon to be four-product company, internationalized sales into an unrivaled ecosystem of more than 360 customers across 63 countries, and built a scalable operations infrastructure and professional management team, as well as supported two generations of development of the company’s flagship product.”

“I am grateful to the team at Riverside for their support and stewardship over the course of this investment,” said Bohemia CEO Arthur Alexion. “With Riverside’s strategic advice and financial backing, we have transformed Bohemia into a true world leader and set the foundation for an exciting, continued growth story with our new owner, BAE Systems.”

Havel & Partners has advised Ptacek – Sprava on the acquisition of 100% shares on Prostorage s.r.o. and Retail Park Car CB s.r.o. from Czech investment group DRFG a.s. Hartmann, Jelinek, Frana and Partners reportedly advised the sellers on the deal.

Havel & Partners’ team included Partner Jan Koval, Associate Josef Bouchal, and Tax Advised Martin Bures.

Kocian Solc Balastik has advised the Arete investment and real estate group on the closing of its ARETE Invest CEE II sub-fund.

According to KSB, “following the EUR 113.2 million sale of the sub-fund’s portfolio to Cromwell European REIT in March, the company has paid all investors in the sub-fund and settled the bank financing liabilities.”

Arete is a Czech investment company focused on investments in completed and already leased commercial real estate, which generate regular rental income. The fund operates in the Czech Republic and Slovakia.

“We evaluate the results of the entire ARETE Invest fund, respectively both of its sub-funds, as clearly positive,” Arete Group Co-founder Lubor Svoboda commented. “We closed the first sub-fund investing in residential real estate with a total average gross return of 39% per annum in 2017. The second sub-fund investing in quality logistics and light industrial real estate, which we have now settled, was able to deliver and pay its investors a total average gross return of 11% per annum, however, investors who subscribed for the sub-fund’s investment shares in the first wave achieved a gross return on investment of over 20% per annum. The success of both sub-funds clearly underlines our group’s ability to prepare and implement the right investment strategy for each investment period.”

KSB’s team included Partners Martin Krejci and Vlastimil Pihera.