Acquisition of the largest district heating networks in Estonia

Triniti

Our M&A team advised Elekter & Küte OÜ in connection with the acquisition of 100% shareholding in AS Tallinna Küte and AS Eraküte. The deal is one of the largest M&A transactions in Estonia in 2012 and was financed by Swedbank and SEB Eesti.

TRINITI Estonian acquisition team (Ergo Blumfeldt and Liina-Maarja Uuemõis) assisted the purchaser in negotiations with the seller – Veolia Environnement group company Dalkia Eastern Europe and with the banks in connection with the syndicated loan agreement and securitization mattes. We also advised the merger control proceedings in the Estonian Competition Board.

Tallinna Küte is active in the production, distribution and sale of district heat in the Estonian capital Tallinn, operating 421 km of district heating network on the basis of a lease and operating agreement with AS Tallinna Soojus (municipal company of Tallinn City) for a term of 30 years. AS Eraküte provides district heating to 8 Estonian municipalities cities Haapsalu, Jõgeva, Keila, Kärdla, Rapla, Tartu, Valga and in Tiskre-Hansu near Tallinn.