COBALT advises Livonia Partners on the acquisition of Cgates

COBALT represents Livonia Partners, a pan-Baltic private equity fund, which, together with LHV Pension Funds and Ambient Sound Investments, agreed to invest in UAB Cgates, the second largest Lithuanian provider of cable television and internet services. Investors, acting through UAB Silver Screen Holdings, are intending to acquire a significant minority stake in UAB Cgates Group, the sole shareholder of UAB Cgates. The deal still has to be approved by competition and relevant regulatory authorities.

Livonia Partners is a private equity investment fund based in the Baltics, currently managing €83 million as part of Livonia Partners Fund I and Livonia Partners EIF Co-Investment Fund. This deal is the fourth investment of Livonia Partners. The Fund’s strategy is to invest in medium-sized companies in the Baltics that are well-managed and growing. Earlier this year Livonia Partners invested in IT network and security firm Santa Monica Networks in Latvia and Lithuania.

UAB Cgates, a fully owned subsidiary of UAB Cgates Group, is Lithuania’s second largest cable network operator that provides interactive, digital cable, terrestrial and analogue television, fixed telephony, and fibre-optic broadband internet to more than 270,000 subscribers in 18 Lithuanian cities.

COBALT has assisted in drafting the transaction documents, represented investors during negotiations and advised Livonia Partners on other transaction related matters. The team was led by Elijus Burgis, a Partner and the Head of the Corporate Transactions Department at COBALT Lithuania, and Senior Associate Inga Mažvilaitė.