Tark Grunte Sutkiene has advised Baltic Champs, a major producer of mushrooms, in structuring and implementing a merger with the Agrowill Group agricultural goods producer.
The total value of the transaction is slightly less than EUR 30 million. After successful closing of the merger, a mandatory tender offer to buy the remaining shares in AB Agrowill Group was launched. TGS describes this as the first mandatory tender offer ever made in Lithuania, during which shares would be purchased on both NASDAQ OMX Vilnius and the Warsaw Stock Exchange.
After the merger, the total sales of the international group are approximately EUR 40 million, and it holds more than 40,000 hectars of agricultural land in Lithuania and Ukraine. The Baltic Champs Group has around 85% of the mushroom market share in Lithuania, and Agrowill is a leading company in agriculture business. In a statement on the firm's website, TGS announced that "the transaction involved all classical (but novel to Lithuania) features of true merger: exchange of shares listed in stock exchange, launch of takeover bid in 2 stock exchanges in Vilnius and Warsaw and negotiations of shareholders agreement."