Raidla Lejins & Norcous has advised the shareholders of Cgates, the second largest Lithuanian provider of television rebroadcasting and internet access services, on the sale of their shareholding in the company to the Swedish investment company East Capital. The transaction was valued at more than EUR 56 million.
Cgates has over 180,000 subscribers in Lithuania. The company provides interactive, digital cable and terrestrial television, analogue TV, fiber optic broadband and fixed network telephony services.
East Capital Group is a leading emerging and frontier market asset manager in Easter Europe and the Baltics. It is a shareholder of various Lithuanian companies, including Pieno zvaigzdes, City Service, Linas Agro, Apranga, and Siauliu bankas). The fund also owns the GO9 shopping center and the Bures office building in Vilnius.
Raidla Lejins & Norcous assisted in drafting the transaction documents, represented Cgates’ shareholders during negotiations, and advised on other transaction related matters. The team was led by Managing Partner Irmantas Norkus and Managing Associate Juozas Rimas, the head of the RLN Head of Mergers and Acquisitions Practice Group.
In November Rimas also led the RLN team advising Cgates on its acquisition of 100% of the shares in RAKARAS, Ukmerges televizija, and UKMNET TV, as well as part of SATELA’s cable internet access and cable TV retail business (as reported by CEE Legal Matters on November 25, 2014).