COBALT advised Practica Capital on the realisation of their investment in UAB Upa MCT

COBALT advised Practica Capital on the realisation of their investment in a wellness and rehabilitation centre in Druskininkai operated by UAB Upa MCT.

Orion Social Infrastructure Fund, a fund managed by one of the leading fund management companies in Lithuania Orion Asset Management, invested in the real estate of the Upa Medical SPA wellness and rehabilitation centre operated by UAB Upa MCT.

In 2014, Practica Venture Capital fund, managed by Practica Capital, invested EUR 1.45 million in UAB Upa MCT. This early stage investment was used to finance the development and construction of a medical rehabilitation, wellness and spa centre in Druskininkai. The centre opened its doors in the beginning of 2016. Later the fund made follow-on investment in the company.

In addition to investments made by the founders of the company and the fund, an additional long-term financing from the banks and EUR 2.2 million EU structural funds aid, administered by the Ministry of Economy and Innovation, was raised to fund the project.

UAB Upa MCT operates the wellness, SPA and rehabilitation centre UPA Medical SPA, which is equipped with 90 spacious rooms, a swimming pool, a sauna area, rooms for massages, body and face care and therapeutic treatments, a conference hall, a restaurant and other relevant infrastructure.

COBALT Partner Akvilė Bosaitė, head of Banking and Finance Practice Group, advised Practica Capital on the structuring of the transaction, drafted transaction documentation, represented the client in negotiations and advised on other transaction-related matters.