Category: Estonia

Sorainen and Linklaters have advised fintech company Wise on launching the OwnWise customer shareholder program in the EU and establishing its level 1 American depositary receipt program in the US.

According to Linklaters, with over 10 million customers, Wise processed GBP 54 billion in international payments volume during the last fiscal year, generating GBP 41 million in pre-tax profits.

According to Sorainen, OwnWise is designed to reward Wise customers. “The program is available for clients based in the European Union. Customers who are accepted into the program go on to become long-term shareholders, holding shares in Wise for at least 12 months, with additional perks like bonus shares in Wise among others. The Estonian Financial Supervision and Resolution Authority . . . approved a public offering prospectus relating to the establishment of the OwnWise customer shareholder program in the EU on September 6, 2021. Subsequently, the OwnWise prospectus was published . . . and passported into all other EU jurisdictions.”

Sorainen’s team included Counsels Katlin Krisak and Martins Rudzitis, Senior Associate Dalia Augaite, Associate Mirjam Metsik, and Assistant Lawyers Karl Joonas Kendla and Jelizaveta Lazonen.

Linklaters’ team was led by Partner Mike Bienenfeld and Senior US Associate Igor Rogovoy.

TGS Baltic has advised short-term property-backed loan marketplace EstateGuru on its EUR 5.8 million series A investment round. Sorainen advised Jersey-based VC TMT Investments as lead investor in the round. 

According to Sorainen, EstateGuru announced the successful closure of its Series A funding round, with investments coming from Switzerland, the United Kingdom, the Czech Republic, Austria, Germany, and Cyprus. “The round was led by TMT Investments, known also as an early investor in both Bolt and Pipedrive. Among others, VCs such as Verve Ventures, Immo Lab, J&T IB, and the investment banking arm of the Czech investment bank J&T, Capital Markets, participated in the round.”

Sorainen’s team included Partner Toomas Prangli, Counsel Lauri Liivat, and Associate Vladislav Leiri.

TGS Baltic’s team included Managing Partner Sander Karson, Partner Kirsti Pent, and Senior Associate Kart Raud.

Ellex has advised Tallink Grupp on the public offering of new company shares in Estonia and Finland.

Tallink Grupp provides mini-cruise and passenger transport services in the northern Baltic Sea region and roll-on/roll-off cargo services on selected routes. According to Ellex, “with the public offering, Tallink plans to increase the group’s share capital by up to EUR 31,5 million. The current shareholders of the company have the pre-emptive right to subscribe for new shares.”

“Tallink Group’s position is stable considering the circumstances, but we continue to work to further ensure sustainability. The public offering of shares has started as the next and important step to improve the capital structure of our company and increase the liquidity buffer,” commented Tallink Grupp Management Board Chairman Paavo Neogene.

As the offering was three times oversubscribed, the company exercised its right to increase the number of shares offered by 10%, up to 73,687,024 shares, with a corresponding book value of EUR 34.6 million. The new securities are expected to start trading on the Tallinn Stock Exchange on September 17 and on the Helsinki Stock Exchange on September 21.

The Ellex team included Partner Gerli Kivisoo and Senior Associate Alla Kuznetsova.

Sorainen has advised Nordic food company HKScan on the development of their new pan-Baltic logistics center in Estonia.

The new 9,000 square-meter facility, located in Juri, will be operational in September and service stores across the Baltics, providing 105 jobs. According to Sorainen, solar panels will reduce energy consumption by about 30% and a new washing system will provide a 25% efficiency increase.  

According to the firm, “the new logistics center will help HKScan save on both warehousing and distribution costs and significantly reduce its environmental footprint. … Carbon dioxide emissions will significantly decrease as transport will be reduced by about 400,000 kilometers per year.”

“By consolidating HKScan’s Baltic logistics next to Tallinn, we are preparing for the increasingly competitive demands of the changing and evolving retail and food-service market in the Baltic countries, which primarily concerns the speed, quality and frequency of deliveries, delivery capability, and reliability,” HKScan Executive Vice President Juha Ruohola commented.

Sorainen’s team included Partner Paul Kunnap and Senior Associate Britta Retel.

PwC Legal Estonia has promoted Karin Marosov and Indrek Ergma to Partners.

Marosov has been with the firm since 2015. She first joined as a Senior Associate and was promoted to Specialist Counsel in 2019. Prior to that, she was a Senior Associate with Raidla Ellex, between 2009 and 2015, and the Head of Legal of Maxima Eesti, between 2010 and 2013. She serves as the firm’s Head of Real Estate and Construction Law.

Ergma first joined the PwC team in 2012 as an Attorney at Law and was promoted to Specialist Counsel in 2019. Before that, he was an Attorney at Law with Sorainen. He serves as the firm’s Head of Corporate and Employment.

According to Managing Partner Karl Paadam, “their promotion to Partner comes as recognition for their long-term contribution in building up the law office but it is also a clear sign of trust that clients place in [their] work.”

Ellex Raidla has advised construction management platform Remato on securing a EUR 1.4 million investment from Passion Capital, Kaamos Group, Superangel, Lemonade Stand, Spring Capital, and several angel investors.

According to Ellex Raidla, “with the new funding, the company will further develop the user-friendliness of the platform and expand to the United Kingdom.”

Remato is a software developer that offers a real-time project management platform to contractors.

Ellex Raidla’s team included Adviser Antti Perl and Lawyer Priit Pruks.

The firm did not reply to our inquiry about the deal.

Former SupplierPlus Head of Group Legal Kirill Lezeiko returns to private practice by rejoining PwC Legal in Estonia.

Before joining SupplierPlus in April 2020, Lezeiko worked for PwC Legal for over two years as the Head of Financial Transactions and Markets. Earlier still, he worked for Eesti Energia for over 12 years, first joining the company as a Senior Legal Counsel in 2005 and being appointed to Head of Legal Division in January 2016.

According to the firm, Kirill will be involved in banking and finance and cryptography related to finance as he’ll be resuming his responsibilities as Head of Financial Transactions and Capital Markets.

Originally reported by CEE In-House Matters.

Fort has advised Capitalica Asset Management on the acquisition of green concept logistics buildings near Tallinn from Ferroline Group’s FW Force OU. Walless advised Force OU on the deal.

According to Fort, over EUR 100 million is planned to be accumulated in the fund in the coming years, following the strategy to invest in sustainable core assets. “The fund acquired 11,600 square meters of logistics complex in Juri suburb.”

Fort’s team included Managing Partner Kuldar-Jaan Torokoff, Partner Minni-Triin Park, Counsel Ivo Vanasaun, Associate Karl Kahm, and Attorneys Margus Koiva and Helery Maidlas.

Walless’s team was led by Associate Angela Kase.

Sorainen has advised Montonio on raising EUR 2.5 million from Tera Ventures, as well as ffVC, Superangel, Practica, 365.fintech, Startup Wise Guys, and a number of business angels. Ellex Raidla advised Tera Ventures on the investment round.

According to Sorainen, “the round is a part of the convertible instrument round closed last year.”

Montonio is a Tallinn-based provider of buy-now-pay-later and e-commerce payment services.

Sorainen previously advised Montonio on securing a EUR 500,000 investment in September 2020 (as reported by CEE Legal Matters on September 11, 2020).

Sorainen’s team consisted of Partner Toomas Prangli, Counsel Jane Eespold, Senior Associates Mirell Prosa and Robin Teever, and Associates Vladislav Leiri and Liutauras Vasiliauskas.

Ellex Raidla’s team included Adviser Antti Perli and Lawyers Hanna Pahk, Anneli Krunks, Merlin Liis-Toomela, and Priit Pruks.

Sorainen has advised Estonia-based startup 99math on raising USD 1 million from Genesis Investments, Change Ventures, and five angel investors.

According to Sorainen, 99math will use the investment “to boost its education-tech math gaming platform aimed at making math fun.”

99math is an interactive platform for kids to play math games and compete with each other. According to Sorainen, “after debuting in 2019 … 99math has grown into a gaming platform for kids with over 300,000 users.”

Sorainen’s team included Partner Toomas Prangli, Counsel Lauri Liivat, and Associate Nele Suurmets.

The firm did not reply to our inquiry about the deal.