Category: News

Kinstellar has advised OTP Bank on its acquisition of Uzbekistan’s Ipoteka Bank. The White & Case London and Tashkent offices reportedly advised the seller.

“According to the sale and purchase agreement signed on December 12, 2022, OTP Bank will purchase 100% of the shares held by the Ministry of Finance of the Republic of Uzbekistan in two steps: 75% of the shares now, and the remaining 25% three years after the financial closing of the first transaction,” Kinstellar informed. “The financial closure of the first transaction is expected to take place in the first half of 2023.”

OTP Bank is a Hungarian commercial bank that provides financial services in CEE. Ipoteka Bank is a financial institution operating in Uzbekistan, with an 8.5% market share.

The Kinstellar team was led by Hungary-based Partner Gabor Gelencser and included Partners Anthony O’Connor and Peter Voros and Senior Associates Laszlo Palocz and Eszter Takacsi-Nagy, Serbia-based Special Counsel Olga Sipka, and Ukraine-based Senior Associate Yulia Eismont, as well as a team from the firm’s Uzbekistan office.

Cobalt has advised Helmes on its acquisition of Lithuanian software developer TeleSoftas.

“This deal establishes Helmes as one of the main digital innovation partners in all three Baltic states,” Cobalt informed.

Helmes is a Tallinn-headquartered digital consultancy company offering technology strategy, service design, software development, and data management services. TeleSoftas is a Kaunas-headquartered software developer.

“We are excited to join forces with Helmes and exchange the best both companies have learned during decades of helping businesses and governments digitally transform,” TeleSoftas Founder Algirdas Stonys commented. “It’s the great beginning of a strong collaboration between two powerhouses that will empower future partners to take a path in digital transformation.”

The Cobalt team included Estonia-based Managing Associate Ott Aava and Associate Kerli Paasoja and Lithuania-based Managing Associate Deimante Pagiriene.

Ostermann & Partners, working with Herbert Smith Freehills, has advised Gamepires on its sale to Jagex. Wolf Theiss advised Jagex on the acquisition.

Financial details were not disclosed.

Gamepires is a Croatian game development studio founded in Zagreb in 2010. It developed the SCUM video game that sold over three million copies.

Jagex is a developer and publisher of community-driven games. The company employs more than 450 people at its Cambridge headquarters.

“Partnering with Jagex provides us the opportunity to take SCUM to the next level,” Gamepires Creative Director and Co-Founder Tomislav Pongrac said. “Jagex’s world-class reputation as a company where players drive game development matches our ethos and will help us grow as entrepreneurs and as a studio. We’re extremely excited to see how we can build on everything we’ve achieved with SCUM so far and take the game to its full potential.” 

The Ostermann & Partners team included Managing Partner Mojmir Ostermann and Senior Associates Barbara Vricko Hrabar and Marta Jelakovic.

The Wolf Theiss team included Croatia-based Partner Luka Tadic-Colic and Associate Marija Lalin, Sofia-based Partner Richard Clegg, and further team members from the firm’s Budapest office.

Cobalt, working with DLA Piper, has advised the HKScan corporation on the sale of its Baltic subsidiaries to the Maag Grupp. Ellex advised the buyer.

Closing is expected in the second half of 2023, pending regulatory approval.

“The debt-free purchase price is EUR 90 million, of which EUR 20 million is conditional on the combined performance of the separately defined meat business subject to the transaction and Maag Grupp’s Baltic meat business in the following years,” Cobalt informed.

HKScan is a Northern-European food company operating in Finland, Sweden, Denmark, and the Baltics. The company’s Baltic production units are located in Rakvere, Tabasalu, and Viiratsi in Estonia and Jelgava in Latvia.

The Maag Grupp is an Estonian food manufacturing company operating in the meat and dairy business.

“The sale of the Baltic business will improve HKScan’s profitability and strengthen its balance sheet,” HKScan Interim CEO Juha Ruohola commented. “In addition, the divestment will enhance our ability to improve our operational efficiency and to execute our long-term strategy of growing into a versatile food company.”

The Cobalt team included Estonia-based Partner Martin Simovart, Managing Associate Jesse Kivisaari, and Associate Getter Villmann, Lithuania-based Managing Partner Irmantas Norkus, Managing Associate Deimante Pagiriene, and Senior Associate Zygintas Voronavicius, and Latvia-based Partner Guntars Zile and Senior Associates Diana Zepa.

The Ellex team was led by Estonia-based Partner Sven Papp and included Partner Martin Maesalu, Counsels Gerda Liik and Jaanus Ikla, Senior Associates Hanna Pahk and Merlin Liis-Toomela, Associate Kevin Gerretz, and Lawyers Erik Seim and Miikael Tuus; Latvia-based Partners Filips Klavins and Liga Merwin, Senior Counsel Iveta Ceple, Senior Associates Marta Cera, Anna Misneva, Inese Freivalde, and Edvijs Zandars, Associates Ints Skaldis, Kristers Losans, and Mikijs Zimecs; and Lithuania-based Associate Partner Edvinas Beikauskas, Senior Associates Mantas Juska and Marijus Dingilevskis, and Associates Ieva Krivickaite, Kamile Skrupskyte, and Ainis Augustas Petrulis.

DLA Piper fielded a Helsinki-based team led by Country Managing Partner Ilkka Liljeroos.

BDK Advokati has advised Croatia’s Agez Group on its acquisition of a 60% stake in Serbian printing and graphics company Grafostil.

Grafostil is a Serbian printing and graphics company founded in 1995 and based in Kragujevac. It employs over 170 people.

The BDK Advokati team included Senior Partner Vladimir Dasic, Attorney-at-Law Sanja Dedovic, and Junior Associate Milan Popovic.

Rymarz Zdort has advised telecom infrastructure operator Cellnex Poland on its full acquisition of Remer. Alto advised Remer.

Spanish Cellnex Group company Cellnex Poland operates wireless telecommunications infrastructure in Europe. The Cellnex Group manages a portfolio of 138,000 telecommunications masts and antennas in 12 countries in Europe.

Remer is a Polish building infrastructure integrator specializing in telecommunications installations. According to Rymarz Zdort, the company creates modern telecommunications networks using the distributed antenna system, allowing for the provision of excellent telecommunications coverage in buildings, tunnels, offices, shopping centers, and stadiums.

“We believe that this collaboration will help us deliver even the largest and most complex projects. Together with Cellnex, we will be able to better tailor our offer for specific customers – telecommunications network operators, developers, and building managers,” a Remer press statement read.

The Rymarz Zdort team included Partners Magdalena Pyzik-Walag, Marek Maciag, and Monika Kierepa, Counsel Marek Kanczew, Senior Associates Honorata Skibicka and Barbara Skardzinska, and Associates Marcin Banak, Kamila Banas, Hubert Derdowski, Kamil Klopocki, and Karolina Ochocinska.

The Alto team was led by Counsel Rafal Kozlowski and included Partner Daniel Banach, Associates Jedrzej Besztak and Szymon Tyniec, and Junior Associates Ewa Michalska and Aleksandra Traczuk.

Sorainen has advised PR and communications firm Rud Pedersen Group on its acquisition of the Meta Advisory Group.

According to Sorainen, “as a result of the transaction, Meta becomes part of Rud Pedersen Group, headquartered in Stockholm with almost 500 consultants and 75 partners working in 13 markets around the Baltic Sea and Europe.”

The Meta Advisory Group is an Estonian public relations company with offices in Latvia and Lithuania. The Rud Pedersen Group is a European public relations and communications firm.

“The Rud Pedersen Group has emerged as the best public relations firm in Europe because of its ambitious management team, a culture of getting things done, and entrepreneurial spirit,” Meta Managing Partner Andreas Kaju commented. “These are the same characteristics that have enabled Meta to grow to the same status in its home market. For our clients, the transaction has clear benefits – in the Baltic business region and the three capitals alone, we are now one team of a hundred consultants and experts supporting our clients across the entire communications spectrum – from government relations to reputation management, from brand and digital communications to crisis communications.” 

Sorainen’s team included Partner Piret Jesse, Of Counsel Isabella Barbara Tisenhusen, and Senior Associate Robin Teever.

Sorainen did not respond to our inquiry on the matter.

Karanovic & Partners has advised the Duomed Group on its acquisition of Mar Medica Ltd. Mrakovic Markovic & Partners reportedly advise Marko Rackovic on the sale.

The Duomed Group, headquartered in Benelux, is a distributor of medical supplies. According to Karanovic & Partners, “with this acquisition, the Duomed Group realizes a significant geographical expansion in an emerging market. From the offices in Serbia and Slovenia, the group is now able to cover the Balkan region.”

Mar Medica Ltd. is a company based in Belgrade, Serbia, specializing in selling, installing, and servicing medical equipment and disposable medical supplies for both state health institutions and private clinics and hospitals, focusing on surgery, anesthesia, and intensive care. According to Karanovic & Partners, “the company covers a market of over 20 million people, including direct sales in Serbia and Slovenia, as well as distribution sales in Croatia, Bosnia and Herzegovina, Montenegro, and North Macedonia.”

The Karanovic & Partners team included Partner Milos Jakovljevic, Senior Associate Igor Radovanovic, and Junior Associate Pavle Vucetic.

Editor’s Note: After this article was published, Mrakovic Markovic & Partners confirmed it had advised the seller. The firm’s team included Partners Nikola Markovic and Mirko Mrakovic.

Squire Patton Boggs has successfully represented Kosovo in an International Chamber of Commerce arbitration concerning the revocation of a microfinance license.

According to Squire Patton Boggs, “the dispute, AS IuteCredit Europe v Republic of Kosovo, concerning the revocation of a microfinance license issued to the claimant’s local Kosovo subsidiary, was governed by Kosovo’s 2014 Law on Foreign Investment. Squire Patton Boggs has now secured three consecutive victories for the Republic of Kosovo in investment arbitrations, saving Kosovo taxpayers nearly half a billion euros in claims.”

According to the firm, “the case involved several issues concerning the legality of the investments, both at the time of the making of the investment and subsequently. The tribunal eventually concluded that the claimant’s conduct was not sufficient to preclude the tribunal’s jurisdiction but found in Kosovo’s favor on all claims on the merits.”

“In doing so, the tribunal accepted Kosovo’s argument that the revocation of the microfinance license represented a bona fide exercise of Kosovo’s regulatory powers, which was neither arbitrary nor discriminatory and provided the claimant with due process,” the firm informed. “Based on this conclusion, the tribunal rejected all claims brought by the claimant, including its claims for expropriation, breach of the FET standard, breach of the FPS standard, and breach of the umbrella clause. The tribunal also awarded Kosovo all the costs of the arbitration and 20% of Kosovo’s own costs.”

The Squire Patton Boggs team included Prague-based Partner Rostislav Pekar, Senior Associate Matej Pustay, and Associates Fellenza Limani, Mailis Meier-Lutterodt, Tamara Koresova, and Helena Cech, New York-based Partner Luka Misetic, and Houston-based Partner Mark Stadnyk.