We advised Baltic Horizon Fund in arranging a capital raising of EUR 4 million in connection with the latest property acquisition of the fund – Galerija Centrs Shopping Centre in Riga, Latvia which is also the largest property in the funds portfolio.
“We are very pleased to add such a stable landmark cash-flow property to our portfolio. After the acquisition, the fund will strategically own a centrally located retail asset in the heart of every Baltic capital: Galerija Centrs in Riga, Postimaja in Tallinn and Europa Shopping Center in Vilnius. With this position, we strive to become a long-term prime landlord partner for top retailers in the Baltic market who look to develop their current and new brand portfolios. With the acquisition, Baltic Horizon Fund will also become the largest diversified commercial real estate investment fund in the Baltics with close to EUR 350 million assets under management,” commented fund manager Tarmo Karotam after the acquisition was announced.
As part of the transaction the seller of Galerija Centrs, Linstow AS, agreed to subscribe fund units in the amount of EUR 4 million.
Our team and services
We advised the client throughout the project. The assistance included drafting and negotiating subscription agreement with the investor, drafting of listing prospectus and related communication with Estonian Financial Supervision Authority, assistance in arranging the issuance, settlement and listing of the new units as well as disclosure advice. The new units were admitted to trading on both Nasdaq Tallinn and Nasdaq Stockholm. Sorainen team was led by partner Reimo Hammerberg and included senior associate Kätlin Krisak and associate Oliver Ämarik.