RASK advises SmartCap in the restructuring of the state-owned investment fund, Estonian Development Fund.

Case

RASK advised SmartCap in connection with the restructuring of the state-owned investment fund, Estonian Development Fund, as well as draw up part of the documentation needed to carry out the restructuring.

RASK’s main duties involved overseeing and ensuring that the restructuring of the asset portfolio of the Estonian Development Fund and SmartCap would not in any way contravene or contradict any existing agreements and obligations of SmartCap, including but not limited to option program entered into between the employees and SmartCap. In connection to the aforementioned, RASK drew up the necessary documents to execute the transition and advised on respective corporate governance matters and procedures. RASK also carried out a tax audit and assessed whether any tax risks are associated with SmartCap in connection with the restructuring of the Estonian Development Fund.

SmartCap AS is KredEx SA owned investment company supporting the development of the Estonian economy. SmartCap manages early stage venture capital fund Early Fund II. Total assets under management are 50 million euros. Based on present investment strategy, SmartCap is making new investments into early stage venture capital funds otherwise known as accelerators.

KredEx SA is a financing institution helping Estonian enterprises develop quicker and expand more safely to foreign markets, offering loans, venture capital, credit insurance and guarantees with state guarantee. KredEx helps the Estonian people to improve their living conditions, offering loan guarantees with state guarantee for purchasing homes, as well as loans, guarantees and grants for solutions aimed at energy efficiency.

The Estonian Development Fund was a public institution subject to the Estonian Parliament whose aim was to contribute to the economic development of Estonia. In order to achieve that, The Estonian Development Fund invested in innovative companies in Estonia and contributed to helping such companies to emerge.