Blog

2015

Vaklak OÜ, a holding company managed by the Austrian businessman Wolfgang Leitner and owned by a group of Austrian investors, acquired agricultural businesses AS Peetri Põld ja Piim, OÜ Tammsaare and OÜ Nordwinter. Vaklak already owns a number of dairy and crop farming companies in Estonia. The principal area of activity of Peetri Põld ja Piim and OÜ Tammsaare is also dairy farming, including milk production and sale, sale of animals, and sale of grains and rape.

The sales revenue of Peetri Põld ja Piim was 3.2 million euros and that of OÜ Tammsaare was 1.4 million euros in 2014. Vaklak earned a profit of 1.4 million euros last year.

2015

TARK successfully advised City Service, a holding company managing one of the largest corporate groups engaged in facility management and integrated utility services in Europe, on establishment of a European Company (Societas Europaea, SE) and admission of its shares to trading on the Warsaw Stock Exchange.

The formation of City Service SE was ended in October and the admission of its shares onto the Warsaw Stock Exchange was finished in the middle of November 2015. This establishment of SE was conducted in two stages: by a cross-border merger of City Service with its subsidiary in Estonia and conversion of the merged company into SE, followed by admission of its shares to the Warsaw Stock Exchange.

That was likely the first time in the Baltics that a listed company (on AB NASDAQ OMX Vilnius) was involved in a cross-border merger transaction. After its formation, City Service SE was listed on the Warsaw Stock Exchange and temporarily remains listed on AB NASDAQ OMX Vilnius.

2015

27.10.2015 the resolution of Financial Supervision Authority of Estonia came into force, which grants GFC Good Finance Company AS an activity license for provision of additional payment services. GFC Good Finance Company AS, a payment institution under the Payment Services Directive No. 64/2007, has an activity license for provision of number of payment services relating to payment accounts and payment transactions. Referred resolution enables GFC Good Finance Company AS to issue also a payment cards and payment instruments.

2015

TARK advised Fuchs Petrolub SE on the Estonian, Latvian and Lithuanian law aspects of acquisition of Statoil Fuel & Retail Lubricants business. The transaction was signed in August and closed in October 2015. Fuchs Petrolub is the world’s leading independent supplier of lubricants headquartered in Germany (www.fuchs-oil.com). In the financial year 2014/2015, Statoil Fuel & Retail Lubricants business generated sales revenues of approximately EUR 140 million.

With this acquisition, the Fuchs Group is strengthening its presence in Scandinavia, expanding its market position in Poland and Russia and will now be present in the Baltic States.

TARK’s team carried out the due diligence review of the target’s Baltic operations and advised on the Baltic aspects of the transaction.

2015

TARK has advised world’s largest manufacturer and distributor of sewing thread and supplies Coats plc on the sale of the EMEA Crafts business to AURELIUS Group.
The Coats EMEA Crafts business is the leading supplier of textile craft products in Europe, with a history going back 250 years. The acquisition covered all Coats plc crafts business in EMEA and included Estonia, Latvia and Lithuania. With about 900 employees, the business generated revenues of EUR 100 million in 18 European countries in 2014.

AURELIUS Group is a mid-market pan-European investor focused on value creation through operational improvement. Employing more than 70 professionals, it has offices in Munich, London, Stockholm and Madrid, with portfolio companies operating throughout Europe. AURELIUS has particularly strong capabilities in the Industrials, Chemicals, Business Services, TMT and Consumer sectors and targets Pan-European private and public companies with revenues from EUR 40 million to EUR 1 billion.

TARK advised client on all legal matters to implement the transaction in the Baltic countries, including structuring of the local transfer and its implementation. The Firm advised on localizing the master transfer agreement governed by the UK law for Estonia, Latvia, and Lithuania.

2015

We advised two clients – Flora Ehitus OÜ and Kemiflora OÜ – on the whole process of the sale of six developed business immovables to a local retailer. Our legal advice consisted in assisting the clients in all the stages of the deal from due diligence, preparing documents and conducting negotiations to closing and resolving practical issues related to closing.

2015

Yesterday, on 29 June, the owners of Eesti Telekom, one of the largest telecommunication companies in the Baltics, signed a contract for the purchase of the rapidly developing IT company Green IT. The transaction will be closed after receiving clearance from the Estonian Competition Authority. After closing, Green IT will continue its activities as separate company under the current trademark.

“Eesti Telekom has been a great competitor of Green IT for years. As the IT market is becoming more and more service focused, it is important to keep investing in the development of services and to increase the volume of business. The consolidation on the market is only natural in this situation,” the managing director of Green IT, Margo Luberg, commented on the deal.

Green IT, established in 2006, is a rapidly growing IT company based on Estonian capital with the Baltic States as their home market. As of the end of 2014, they managed more than 60,000 IT devices with a total value of over 10 million euros. Green IT has a total of 150 customers from both the private and public sector.

2015

TARK advised Mezzanine Management, an independent investment advisory firm, with a focus on Central and Eastern Europe, on the EUR 23.3 million investments to support the growth of Mogo Finance (Mogo), a non-bank car financing provider operating in the Baltics and Georgia.

The deal was funded through Accession Mezzanine Capital III, Mezzanine Management’s third investment vehicle. The fund is backed by reputable institutional investors, including European Bank for Reconstruction and Development and European Investment Fund.
The funds in this deal are earmarked for developing Mogo’s operations in other countries within the Central and Eastern European region. Mogo is currently the market leader in the Baltics, with a loan portfolio in excess of EUR 38 million comprising 20 000 cars and employing more than 200 people.

The firm presently has operations in Latvia, Lithuania, Estonia and Georgia and plans to work with Mezzanine Management to expand the group into other countries.
TARK provided legal services throughout the process, drafted all necessary transaction documentation, and advised on regulatory issues.
Mezzanine Management is an exclusive advisor to the Accession Mezzanine Capital group of funds, whose total commitments exceeded half a billion euros. The company has been operating in Central and Eastern Europe since 2001 through its offices in Vienna, Warsaw, Bucharest, Budapest and Kiev.

2015

TARK has earned the highest ranking in the Baltics in the most recent independent Law Firm Review conducted by international market research company TNS SIFO Prospera. The survey comprised an evaluation of law firms by 265 business organizations from Estonia, Latvia and Lithuania with the highest volume of annual purchases of legal services.

TARK had the highest score in overall performance in the Baltic countries combined and individually in Estonia and Lithuania and ranked No 1. In Latvia TARK GRUNTE SUTKIENE had the second highest score in overall performance and ranked No 2. The survey was made by interviewing clients in each Baltic country about the performance of all top tier law firms plus a number of other law firms.
„We are grateful that our clients take the time to provide their feedback in this and other surveys. For us to be able to contribute effectively to our clients’ business, it is important that our services and approach are based on a good understanding of their needs,“ – said Ivars Grunte, chairman of the Pan-Baltic Board of TARK GRUNTE SUTKIENE and Managing Partner of the Latvian office.
TNS SIFO Prospera carry out the most comprehensive client surveys for law firms in the Nordic and Baltic countries. These surveys have been made for the Nordic countries for many years and are considered as the most serious researches into client satisfaction regarding law firms. In March – April 2015 this survey was made for the first time in the Baltic countries. Participating in this annual survey are executives and corporate lawyers, CEOs, CFOs and transactional and business development managers at companies based in the Baltic States.

TARK GRUNTE SUTKIENE ranked as the overall leader and number 1 on the majority of the client evaluation criteria. According to the respondents, TARK GRUNTE SUTKIENE is particularly strong on the following performances: Quality across the Baltic region, Lawyer´s skills, being Business minded, Project staffing, Personal contacts, International competence, Competitive fees and Integrity & ethics. They say that TARK GRUNTE SUTKIENE is strong on: Large projects, Advisory, Client understanding, being a Strategic speaking partner, Availability and Service and Project management

„We are very glad and honoured by the high score and appreciation that the clients have awarded us with. In particular we are pleased to note that we have scored high on the buying criterions which we consider to be the cornerstones of our law firm´s culture,“ – comments Magnus Pousette, TARK GRUNTE SUTKIENE’s Baltic Managing Partner.
„These results are in line with our firm’s mission and vision. Our aim has always been to create value for our clients by helping them to succeed in their commercial ambitions rather than just advising them on purely legal matters. In our vision, we undertake to be No 1 in the market of legal services according to client satisfaction. It is obvious we have an even greater challenge – to justify the high expectations of our clients,“ – said Mrs. Eugenija Sutkienė, Managing Partner of TARK GRUNTE SUTKIENE´s Lithuanian office.

“This is a great demonstration of trust from our clients, and we feel really proud and humble acting as their trusted advisors. At the same time, it is also a signal that we are doing things right and encourages us to continue on the same path and further improve our services,” – said Aare Tark, Managing Partner of TARK GRUNTE SUTKIENE´s Estonian office.
It is not the only international acknowledgement of TARK GRUNTE SUTKIENE recently. One of the most influential European law publications “The Lawyer” awarded the title “The law firm of the year: The Baltics 2015” to TARK GRUNTE SUTKIENE. The Firm was also shortlisted for the “Best European Law Firm”, being the first Baltic law firm ever to receive such a shortlisting.