Category: Estonia

TGS Baltic has advised Nordic Foodtech VC on its investment in Tallinn-based biotechnology R&D start-up Aio Tech.

According to TGS Baltic, “Nordic Foodtech VC is a venture capital fund investing in food technology and the future of food. The Helsinki-based venture capital fund operates in all Nordic and Baltic countries and has invested in ten companies so far, of which Aio is their first investment in the Baltic countries.”

According to the firm, “Aio Tech is a company that grew out of TalTech – it was founded in 2022, and, with the help of a unique microbe, produces sustainable and edible oils and fats from side-streams of the wood and the agricultural industry.”

TGS Baltic’s team included Partner Kadri Kallas and Senior Associates Mirko Kikkamagi, Mari-Liis Orav, and Silvia Urgas.

TGS Baltic did not respond to our inquiry on the matter.

TGS Baltic has advised EV charging solution developer VOOL on raising EUR 1.7 million in a Specialist VC-led round. Ellex advised Specialist VC.

The round included Estonian venture capital investors and angel investors, like the former President of Estonia, Kersti Kaljulaid.

VOOL is a  start-up developing an electric car charging solution. According to TGS Baltic, its “smart grid solution uses the existing grid three times more efficiently. It doesn’t provoke an overload and is capable of providing reliable and cost-efficient charging for both business and private customers. The funding will be used to expand the team and ramp up the production of its chargers and expand its reach into new European markets.”

Specialist VC, a venture capital fund, invests in Estonian, Latvian, Lithuanian, and Finnish start-ups and combines a traditional investment fund with secondary market investments. According to Ellex, the fund’s “main focus is on B2B, SaaS, fintech, and marketplaces. One-third of the fund is reserved for after-market investments in start-ups that have progressed from the A-stage.”

TGS Baltic’s team included Partners Kirsti Pent and Kadri Kallas and Senior Associate Mirko Kikkamagi.

The Ellex team included Partner Antti Perli, Counsel Rudy Rimal, and Senior Associates Merlin Liis-Toomela and Hanna Pahk.

Sorainen has advised Skoda on its cooperation agreement with Elron for the construction of ten electric trains.

The current contract arose out of a 2021 public procurement deal where Sorainen advised Skoda on supplying six trains to Elron (as reported by CEE Legal Matters on February 26, 2021) with the option to request ten more. The total contract is worth over EUR 147 million.

Elron is a state-owned company that organizes railway transport, including the provision of passenger transport and other related services, as well as the repair of railway rolling stock in Estonia.

According to Sorainen, “as a result of the contract, Elron’s train fleet will increase by more than 40% by 2027. The new trains will have three cars and significantly improve the passenger experience with wider entry areas, as well as extra space for bicycles and passengers with baby strollers. The trains will be built on the RegioPanter platform, also used in the Czech Republic and Slovakia.”

“The new trains place great emphasis on passenger comfort,” commented Skoda Group Sales Area Director Mainline Ivo Gurnak. “They have a low-floor entrance, space for two wheelchairs, and four prams. Some of the seats are removable so that the train can be adapted to the current situation – in summer there will be more space for bicycles, in winter more space for passengers. Of course, there is air conditioning, a modern information system, WIFI, 230 V, and USB sockets.”

Sorainen’s team was led by Counsel Kadri Harginen.

Sorainen did not respond to our inquiry on the matter.

Cobalt has advised Salv on its EUR 4 million seed investment round led by ffVC with participation from German G+D Ventures.

Salv is an Estonia-based regulatory technology start-up. Salv’s platform specializes in combating financial crime and providing anti-money laundering functionality.

“The digitalization of the financial industry has resulted in an avalanche of financial crime, and the numbers are only projected to grow,” Salv CEO Taavi Tamkivi commented. “Our collaborative-crime fighting platform, Salv Bridge, is proven to be effective against money laundering, sanctions, and fraud.”

The Cobalt team included Specialist Counsel Greete-Kristiine Kuru and Associate Johanna Lumiste.

Cobalt could not provide further information on the deal.

Triniti has advised Fort Aero on the addition of Piaggio P.180 Avanti II push-prop aircraft to its fleet.

Fort Aero is an Estonian air operator specializing in providing charter flight services and managing a corporate fleet of business jets.

According to Triniti, “the business aircraft with outstanding performance characteristics will be registered in the Estonian register of civil aircraft and have Tallinn as its home base.”

Triniti’s team included Senior Associate Sten Veidebaum.

Triniti did not respond to our inquiry on the matter.

Triniti has promoted former Attorney-at-Law Maarja Pild to Associate Partner in Estonia as of January 2023.

Specializing in media and data protection law, Pild is the Head of Triniti’s IP-IT, Media, and Data Protection working group. She first joined Triniti in 2013 as a Lawyer and was promoted to Attorney-at-Law in 2017.

Since 2020, Pild has also been a Member Estonian Press Council.

“We are delighted to welcome on an associate partner journey one of the top experts, who is not only an outstanding attorney but also a courageous thinker, who intervenes when she senses injustice,” Triniti Partner Karmen Turk commented. “Maarja is bringing us additional energy and new ideas that have already taken our law firm to the next level.”

Sorainen, working with DLA Piper Sweden, has advised TSG Solutions on its acquisition of Nordic Gas Solutions.

TSG Solutions provides technical services for responsible mobility solutions.

Nordic Gas Solutions specializes in the design, assembly, installation, and maintenance of high-standard facilities for natural gas and biogas for safe and environmentally sound management. Nordic Gas Solutions is headquartered in Stockholm, Sweden, and has a subsidiary in Estonia as well.

According to Sorainen, “the transaction reinforces TSG’s strategy to be the referent services provider to support all B-to-B customers in their energy transition for mobility, with gas and biogas playing an increasing role in the development of low-carbon solutions for heavy transportation.”

“The acquisition of Nordic Gas is the 18th acquisition made by TSG in 20 months throughout Europe,” TSG Solutions CEO Jean-Marc Bianchi commented. “The integration of new gas experts already active in biogas development contributes to TSG’s willingness to reinforce in new energies for mobility while preparing for the upcoming hydrogen development. With a large investment in new energy competencies, TSG accelerates its transformation and diversification.”

Sorainen’s team included Partner Toomas Prangli, Counsel Pirkko-Liis Harkmaa, Senior Associates Robin Teever, Britta Retel, Kirsi Johanna Koistinen, and Olivia Kranich, and Associates Andra Grunberg and Anu Liinsoo.

Sorainen did not respond to our inquiry on the matter.

Recent amendments to the Employment Contracts Act modernized the organization of working time and on-call time. The category of an employee with independent decision-making capacity has been added.

These are employees earning at least the average gross salary in Estonia, who, based on the nature of their work, shall not work at certain times of the day and who can choose their working hours. An employee with independent decision-making capacity is not subject to the regulation of working time organization, the rules of on-call time, the limitation of night work, or the limitations of daily and weekly rest time. Also, the compensation procedure for work done at night and on public holidays does not apply to them. However, the rules regarding the duration of working hours also apply to such an employee, i.e. a full-time or part-time agreement, and overtime regulation applies. In order to become an employee with independent decision-making capacity, the parties must enter into a written agreement in the employment contract or its annexe. The parties may cancel the agreement at any time with 14 calendar days’ notice.
The amendment to the on-call time regulation concerns employees whose duties ensure the continued functioning of information and communication technology services, infrastructure, and information security. While the possibility of using daily and weekly rest time must usually also be guaranteed for on-call time, in the case of the above-mentioned employees, the parties can agree not to apply the rest time limitations.

By Kristi Sild, Partner, Lextal

Former Ellex Raidla Senior Partner Juri Raidla has stepped down from his position on January 1, 2023, to continue as a Counsel with the firm. 

Raidla, who is the founder of Ellex in Estonia, specializes in energy, infrastructure, transport, and constitutional and administrative law. Raidla was the first Minister of Justice of the re-independent Estonia from 1990 to 1992, as well as Chairman of the Constitutional Assembly.

“Shortly before Ellex in Estonia was founded and launched, Raidla worked as the first Executive Director of the then newly established Estonian Banking Association,” Ellex informed. “Since November 25, 2009, Juri has been working on state reform on a pro bono basis. Among his pro bono activities, his work as Chairman of the Board of Trustees of the University of Tartu also deserves to be mentioned.”

Former Senior Associate Dmitri Zdobnoh has been appointed a Partner with Eversheds Sutherland Estonia as of January 1, 2023.

Specializing in corporate and M&A, finance, and tax law, Zdobnoh has been with the firm since 2018. Before joining the firm, he was a Lawyer at Ecovis Estonia, in 2018, and at Friendly Finance, from 2017 to 2018. Between 2011 and 2013, Zdobnoh also worked as a Lawyer at the Estonian Tax and Customs Board. Before that, he was a Lawyer with Ellex Raidla from 2010 to 2011.

“Dmitri is highly valued by both colleagues and clients,” Eversheds Sutherland Estonia Managing Partner Maivi Ots commented. “Therefore, I am very happy to welcome Dmitri as our partner, and I am convinced that his contribution will significantly advance the development of Eversheds Sutherland in Estonia.”