€10 million energy sector deal completed: E energija sells two companies

The transaction involving the acquisition of two companies owned by the private capital group E energija was completed at the end of March this year, following the initial approval by the Competition Council in January. During the transaction, the largest centralized heating production company in Lithuania, Vilniaus šilumos tinklai (VŠT), acquired 100% of the shares of Pramonės energija and Miesto energija, as well as 4.34% of Klaipėdos energija shares for 10.6 million euros. 

The company Miesto energija managed the heat supply network in the Klaipėda Free Economic Zone (FEZ), while Pramonės energija produced heat and electricity in its biofuel cogeneration plant, supplying it to the Klaipėda city. It is estimated that following the transaction, the heat sold by VŠT will increase by 99 gigawatt-hours (GWh) annually, and the company’s managed centralized heat network expanded by 6.2 kilometers after taking over part of the network in Klaipėda FEZ. 

In this M&A transaction, Ellex Valiunas represented E energija group that managed both companies. Partner Ramūnas Petravičius, senior associates Arvydas Grušeckas, and Andrej Jemeljanov represented the client in negotiations and drafting share purchase agreements.