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COBALT advised AB Invalda LT on the acquisition of Finasta Group

2014-12-03

COBALT lawyers advised AB Invalda LT, a major asset management and investment company in Lithuania, in connection with its acquisition of Finasta group companies in Lithuania and will continue to advise it on the acquisition of Finasta group companies in Latvia.

In Lithuania, Finasta group is comprised of AB bank Finasta, Financial brokerage firm Finasta, AB, and UAB Finasta Asset Management. In Latvia, Finasta group companies include IPAS Finasta Asset Management and AS Finasta atklātais pensiju fonds. 

AB Invalda LT has acquired a 78.28% shareholding in each of AB bank Finasta and Financial brokerage firm Finasta, and a 100% shareholding in the asset management company Finasta Asset Management. Subject to authorisation from the Financial and Capital Market Commission, AB Invalda LT will acquire 100% of shares in the Latvian asset management company IPAS Finasta Asset Management.

The estimated deal price for 100% of shares in Finasta group companies totals approx. EUR 7 million and may be subject to slight variation depending on the change in the equity capital of AB bank Finasta prior to closing. 

AB Invalda LT was founded in 1991. To date, the company has efficiently managed its shareholders’ funds and is the only company with a few thousand of shareholders and a shareholder value worth several hundreds of millions. AB Invalda LT shares have been traded on NASDAQ OMX Vilnius stock exchange since 1995. Since its incorporation AB Invalda LT has executed dozens of corporate acquisition and sale transactions and capital financing transactions for the aggregate value of approx. EUR 1.2 billion. 

COBALT legal advice included assistance in obtaining authorisations from Lithuanian and Latvian financial regulatory authorities, a thorough due diligence of Finasta group, structuring of the deal, drafting of the acquisition agreement and other related documents, assistance in negotiations, coordination of the acquisition process with the seller and comprehensive assistance to the purchasers. The team was led by Dr Irmantas Norkus, COBALT Managing Partner, and Akvilė Bosaitė, Managing Associate and Head of Banking and Finance Practice Group at COBALT Lithuania.