One of the largest private equity firms in Bulgaria, BlackPeak Capital, acquired a stake in one of Bulgaria's leading telecom and critical infrastructure services provider - Telelink Infra Services (Telelink Bulgaria AD).
The Gugushev & Partners team, led by Senior Partner Victor Gugushev and Senior Partner Dimitrinka Metodieva, along with Associate Sevdelina Rabuhchieva, advised BlackPeak Capital during the entire process of acquisition. The Fund itself has a total of over 150 million euros under management, 8 of which invested in Telelink Bulgaria AD via its BlackPeak Southeast Europe Growth Equity Fund. The investment will help continue Telelink Infra Services’ rapid growth through organic and M&A initiatives in Western Europe and CEE.
The highly complex and multijurisdictional transaction included the preparation of a due diligence report with a focus on red-flag findings and recommendations on Telelink Bulgaria AD and its foreign subsidiaries as a prerequisite. Gugushev & Partners acted as a lead counsel and coordinated the efforts of all foreign law firms so that a cohesive due diligence report, encompassing multiple legal systems, could be presented to the client. On the Bulgarian side, Gugushev & Partners was also in charge of drafting and negotiating the Share Purchase and Subscription Agreement (SPSA) and Shareholders' Agreement (SHA), as well as the transaction documents, working in synergy through multiple teams. The legal counsel was able to swiftly go through most of the transactional documents' provisions as in the last years, Gugushev & Partners significantly grew the M&A team experience in working with venture capital funds requirements. The complex deal structure included growth capital investment through a capital increase and partial buy-out of existing shareholders in Telelink Bulgaria AD, as well as the conversion of the type of a part of the shares.
Telelink Bulgaria AD, headquartered in Sofia, is one of the leading Central and Eastern European providers of innovative network infrastructure services and solutions, which customers are among the leading Telecommunication giants, such as, Vodaphone and Deutsche Telekom AG. BlackPeak Capital was established in 2014 and targets growth equity investments of €5-15 million in fast-growing SMEs in Romania, Bulgaria, Slovenia, Croatia, and Serbia. BlackPeak Capital’s second fund, BlackPeak Southeast Europe Growth Equity Fund, focuses on partnering with the region’s outstanding entrepreneurs who have the ambition to build world-class companies based on continued innovation, organic growth, and add-on acquisitions.
For a full description of the deal, please visit the Gugushev & Partners website here: