Category: Lithuania

  • Ellex Advises Arion Bank on Financing of Sea Connect’s Sale to Samskip

    Ellex has advised Iceland’s Arion bank on financing Samskip’s acquisition of Sea Connect. PwC Legal reportedly advised Sea Connect and Samskip on the deal.

    Sea Connect is a Lithuanian sea freight logistics company. Samskip is a Dutch transport and logistics company.

    According to Ellex, “through this acquisition, Samskip, one of the largest Dutch transport and logistics companies, extends its activity in the Baltics and strengthens its positions in the region.”

    Ellex’s team included Partner Giedrius Stasevicius, Senior Associate Egle Neverbickiene, and Junior Associate Ainis Augustas Petrulis.

  • Sorainen Advises Luminor Bank on Siauliu Bankas EUR 75 Million Notes Issuance

    Sorainen has advised the Luminor Bank on organizing and distributing restricted senior preferred notes with a total value of EUR 75 million for Siauliu Bankas. TGS Baltic reportedly advised Siauliu Bankas.

    According to Sorainen, “the four-year bonds are issued with the issuer’s right to redeem them early after three years. The bonds will be listed on the Nasdaq Baltic Debt Securities List. Moody’s has assigned a long-term deposit rating of Baa2 with a positive outlook to Siauliu Bankas.”

    Sorainen’s team included Partner Augustas Klezys and Senior Associate Dalia Augaite.

  • Sorainen Advises on Whatagraph’s USD 7.2 Million Series A

    Sorainen has advised Lithuanian venture capital fund Open Circle Capital and Finnish venture capital fund Inventure on investing in marketing analytics and reporting startup Whatagraph. TGS Baltic reportedly advised Whatagraph.

    According to Sorainen, “in the Series A round, the company raised USD 7.2 million. LitCapital (the lead investor) and business angel Giles Palmer also invested in the company in this round.”

    Whatagraph’s tool allows digital marketing agencies to monitor and compare performance across channels (such as Google Analytics, Shopify, Facebook Ads, Facebook, etc.) and campaigns on a single platform, as well as to visualize and automate reports.

    Sorainen’s team included Partner Mantas Petkevicius and Senior Associate Mindaugas Baniulis.

  • Sorainen Advises Elephant VC on Investing in PVcase

    Sorainen has advised venture capital firm Elephant VC on investing in Lithuanian startup PVcase. 

    PVcase is a developer of software for solar power plants. The series A round raised EUR 20 million. Venture capital funds Practica Capital and Contrarian Ventures, which had previously invested in the company, also participated in this round of funding. 

    According to Sorainen, the new investment will help PVcase to actively expand in the US market. “Once the series A round has been completed, Elephant VC partner Peter Fallon will join the board of PVcase. With his knowledge and connections, he will help the Lithuanian startup to establish itself in the US market.”

    Sorainen’s team was led by Senior Associate Mindaugas Baniulis and included Partners Laimonas Skibarka, Mantas Petkevicius, and Saule Dagilyte, Counsels Stasys Drazdauskas and Monika Malisauskaite-Vaupsiene, Senior Associates Irma Kirklyte and Aurelija Daubaraite, and Associate Jurgita Tekoriene.

    Sorainen did not reply to our inquiry on the matter.

    Editor’s note: After this article was published, CEE Legal Matters learned that SPC Legal advised PVCase on the deal. The firm’s team was led by Senior Associate Evaldas Petraitis.

    Subsequently, Cobalt informed CEE Legal Matters that it had advised Practica Capital on its investment. The firm’s team included Partners Akvile Bosaite and Eva Suduiko.

  • Walless Advises Boozt on Acquisition of Lithuania’s Estina

    Walless has advised Nordic fashion e-commerce company Boozt on its acquisition of Lithuanian technology company Estina.

    Boozt specializes in e-commerce, providing Scandinavian and international fashion and lifestyle brands for men, women, and children. With over 2 million active customers, the company offers a multi-brand web store and a Nordic fashion outlet.

    Estina has developed web and e-commerce solutions since 2008 in Lithuania. The company partnered with Boozt in 2010 and has provided e-commerce services ever since.

    “Acquiring Estina is a natural next step for us,” commented Boozt CTO Jesper Brondum. “As we continue to expand the services we offer customers and partners, we need a strong tech foundation that supports growth. The team in Vilnius knows our culture and business processes very well, and they are essential for our continued scaling. Securing the right talent and competencies in-house ensures that we stay at the forefront of the latest technological advancements and are well fit for the future.”

    The Walless team consisted of Managing Partner Dovile Burgiene, Associate Partner Alina Makovska, Senior Associate Guoda Sileikyte, Associate Greta Liutkute, and Junior Associate Migle Jeremiciute.

  • The Buzz in Lithuania: Interview with Giedrius Kolesnikovas of Motieka & Audzevicius

    Political changes, COVID-19 challenges, a swath of investment activity, and a positive economic situation – Lithuania is truly buzzing, according to Motieka & Audzevicius Partner Giedrius Kolesnikovas.

    “The political stage is facing challenges of finding accurate regulations for life with COVID-19,” Kolesnikovas begins. He reports that a national certificate indicating a person’s status (vaccinated, recovered, tested) was introduced and is mandatory for “large supermarkets, a number of businesses, travel, and other fields. As in most European countries, this was met by crowds with fury when people marched into streets against vaccination.”

    Kolesnikovas says that, in September, 13 members of parliament, led by former Prime Minister Saulius Skvernelis, split from the majority opposition party, which was a “misfortune for the Farmers and Greens Union, the leading force in the Parliament during the 2016-2020 term.” Kolesnikovas believes that such separation could result in more unpredictability in future parliamentary elections. “It marks the incorporation of yet another solid political movement having reasonable numbers of support from Lithuanian citizens.”

    On legislative changes, Kolesnikovas reports that Parliament is set to revote on the “Law on Partnerships, which confers more rights to unmarried couples that have established a relationship corresponding to the partnership as described by law.” He says this includes the right not to testify against the registered partner, the right to inherit, and other rights granted to married couples, under national laws. “Initial voting was not successful with the definition of ‘partners’ being challenged, which is intended to be gender-neutral,” he says, pointing that, while this will not impact deal-making in Lithuania, it does take away from the government’s focus on dealing with economic hardships. 

    He also reports that new amendments permit notaries to perform actions remotely, upon fulfilling certain conditions. Kolesnikovas says that “in each particular case, the notary shall retain discretion on whether to provide services remotely. These amendments are well regarded by lawyers and the business community, as this should ease the procedures where notaries are involved, as well as enable persons abroad to conclude transactions remotely.”

    Reporting on recent deals of note, Kolesnikovas tells of a vibrant market that defies all COVID-19-related predictions. These deals include Linas Agro’s acquisition of Kauno Grudai, the Avia Solutions Group raising EUR 300 million from Certares Management, and General Electric’s investment in a wind farm in Telsiai. He also says the start-up ecosystem in Lithuania had a record year, with investment rounds “of well over EUR 300 million, and significant amounts of capital invested into TransferGo, Brolis Semiconductors, Turing College, Whatagraph, Vinted, Interactio, and CGTrader.” He reports that the increased attention to Lithuanian start-ups has “influenced debates on amending the Law on Companies, amongst other issues, by introducing effective classes of shares in private limited liability companies, corresponding to global standards.”

    Kolesnikovas also highlights that “Lithuania has managed to become the largest fintech hub in the EU, in terms of licensed companies, due to significant input by the Central Bank.” Following recent Bank of Lithuania leadership changes, “businesses and fintech associations are expecting clarification of the authority’s policies and positions,” he says.

    Given the positive economic outlook, Kolesnikovas reports that the Government plans “to increase the minimum wage from EUR 642 to EUR 730. The final decision should be made in October.” However, he feels that this increase could prove counterproductive for foreign investments, as it could “place an additional burden on businesses and reduce competitiveness.”

    With all this activity it is no wonder that the economy has managed to maintain growth. “Private consumption is high due to private savings, good vaccination rates, and falling unemployment. Banks have collected record-high deposits from private clients and are sharing the accumulated funds by financing projects, which contributes to M&A activity,” Kolesnikovas says. “The real estate market is booming, with some signs of burnout and the Central Bank openly discussing potential measures to preserve it. GDP growth is projected for both 2021 and 2022,” he concludes.

  • Ruta Pumputiene’s Law Firm Joins Ellex in Lithuania

    Ruta Pumputiene’s Law Firm, operating primarily in the field of life sciences and regulatory practice in the Baltics, has joined Ellex Valiunas.

    According to Ellex, this merger was driven by “the priority of both firms for the development of the life sciences sector and a significantly increased need for pharmaceutical and life sciences law.”

    As Ellex Valiunas puts it, Pumputiene, who became the 20th Partner at the Lithuanian firm, is “one of the most valued experts in life sciences, healthcare, biotechnology, and pharmaceutical law.”

    “I am delighted that both my team and I will be able to continue our professional career in this field, only having even wider, bigger, more diverse, and more interesting opportunities with Ellex,” Pumputiene says. “The professional path must always advance and lead only forward. I believe that by sharing our knowledge, together we will be able to offer our clients and their projects the highest, exceptional expertise and quality, which is the aspiration and the main goal of us all.”

    “The demand for life sciences has grown enormously in recent years as the pandemic made the world realize a long-term perspective in this area,” comments Managing Partner Rolandas Valiunas. “Ruta and her colleagues have been leaders in the life sciences area for many years, and this merger of our firms will open new avenues for the industry planning additional business steps in the Baltics. But most importantly, our alumni are coming back. Ruta had contributed to Ellex’s growth and strengthening for ten years, and while she was practicing elsewhere, we sincerely missed her.”

    Joining alongside Pumputiene are her team members – Lawyers Ieva Balene, Giedre Tubelyte, and Viktorija Kod.

  • TGS Baltic Advises UAB Valstybes Investicinis Kapitalas on Note Program and EUR 30 Million First Issuance

    TGS Baltic has advised Lithuanian Aid for Business Fund investor UAB Valstybes Investicinis Kapitalas on establishing its EUR 400 million state-guaranteed note program and placing the inaugural EUR 30 million issuance. Luminor bank covered the issuance.

    According to TGS Baltic, this is the first issuance of corporate notes with a state guarantee in the Baltic states. “The issue received great attention from investors – demand exceeded supply eight-fold. The notes were subscribed with 0.045% yield. The international credit rating agency Fitch Ratings gave an A rating for the entire EUR 400 million note program.” According to the firm, “it is the highest rating granted to a state-owned company and it is the first time that the credibility of borrowing of a public sector company in Lithuania is equated to that of the State.” The notes will be listed on Nasdaq Vilnius and can participate in the monetary policy operations of the European Central Bank.

    TGS Baltic’s team included Partner Vidmantas Drizga, Associate Partner Mantas Gofmanas, Senior Associate Karolina Lapinskaite, and Junior Associate Kotryna Visockyte.

  • Sorainen Advises Henkell Freixenet on Becoming Sole Shareholder in Former Filipopolis

    Sorainen has advised Henkell Freixenet on its full takeover of Henkell Freixenet Lietuva, formerly Filipopolis.

    According to Sorainen, Henkell Freixenet is the world’s leading sparkling wine producer, while Filipopolis is among the largest alcoholic beverage importers and distributors in Lithuania. After acquiring a majority stake in Filipopolis, in 2018, Henkell Freixenet has now become its sole shareholder.

    “With the acquisition of Filipopolis, we have completed our Baltic cluster. In only three years we were able not only to almost double our business but also to make our strategic brands Freixenet and Mionetto leading Prosecco and Cava brands in the Baltic States,” commented Henkell Freixenet CEO Andreas Brokemper. 

    The Sorainen team was led by Partner Sergej Butov and Associate Laura Matuizaite.

  • SPC Legal Advises Startup Wise Guys on Leading USD 1 Million Pre-Seed Round for Watalook

    SPC Legal has advised Startup Wise Guys on leading a USD 1 million pre-seed financing round for Lithuanian technology start-up Watalook.

    The round also included Crosspring, Launchpad Capital, and angel investors.

    According to SPC Legal, “Watalook is a Lithuanian-based beauty tech start-up, designed to empower and help beauty professionals independently grow and manage their beauty businesses.”

    SPC Legal’s team was led by Senior Associate Evaldas Petraitis.

    SPC Legal did not reply to our inquiry on the matter.