5.7.2024

Control or growth?

A subtle wind of change is blowing in the Finnish economy that has continued to underperform this year. The market is waking up, and positive signs are growing stronger. Interest rates seem to be falling, which we expect to stimulate the market and hopefully kick-start the economy. There is a lot of work to do which has been left undone. 

Despite these positive signals, Europe, including Finland, risks falling behind in the global race. The significant shifts of our time, such as the green transition and the rapid progress in artificial intelligence, present golden opportunities for business and growth. However, we must ask ourselves: Is our progress hindered by an overemphasis on an increasing amount of regulation, security and a tendency towards state-centred thinking?

In the United States AI solutions and green innovations are racing forward. The US is even expected to take the lead in commercialising the green transition. Meanwhile, Europe is busy crafting and refining regulations when we should be financing change and solutions.

Of course, we need regulation to ensure fair competition, sustainable development, and consumer protection. But regulation shouldn’t be an end in itself or become an insurmountable barrier to growth and development. A shift in this mindset would boost our competitiveness and create better conditions for turning the challenges of our time into sustainable business opportunities.

As the market finally begins to bounce back, we must seize the opportunity to drive growth. Change won’t happen on its own; it will require a united effort and policies that enable growth while ensuring sustainability without creating unnecessary obstacles. Now, it’s time to roll up our sleeves and work with our clients to foster growth and create sustainable success stories.

I wish our clients and business partners a delightful summer! 

Latest references

We advised Valio Oy in its acquisition of Raisio Oyj’s plant protein business, related fixed assets and the Härkis® and Beanit® fava bean brands. The fixed assets include, among other things, the production equipment of the factory that makes plant protein products in Kauhava. The transaction supports Valio’s strategy to grow from a dairy company to a food company. This business acquisition will make us an even more significant developer and producer of plant-based protein products. The demand for these products will grow in the long term, and a great deal of growth potential still remains. In 2022, we acquired the Gold&Green® business and, since then, we have been carrying out strong product development and renewed the brand. Following successful product launches, sales in the last quarter of 2024 increased by about 50% from the previous quarter. With this acquisition, we are building our own production capacity. The production equipment of the Kauhava factory is just right for our needs and situation. says Kimmo Luoma, Valio’s Senior Vice President. Valio is a Finnish dairy and food company founded in 1905 and owned by Finnish dairy cooperatives. Valio has subsidiaries in Sweden, Estonia, the United States and China. In 2023, the Group had a turnover of EUR 2 278 million and more than 4 000 employees.
Case published 14.2.2025
We successfully represented Trety AB in a dispute and settlement negotiations concerning an agreement for development and production of communication devices for the healthcare sector. Eventually, the parties reached an amicable settlement to the full satisfaction of our client and thus the parties avoided an extensive arbitral proceeding. Trety AB is a global company that provides its customers with solutions for development, industrialization and production of electronics. Trety AB has over 30 years’ experience from IT, electronics and telecommunication industries.
Case published 11.2.2025
We advised a financier consortium including OP Corporate Bank plc, Nordea Bank Abp, and Skandinaviska Enskilda Banken AB in a leveraged financing arrangement for Vexve, a company owned by DevCo Partners Oy. The financing included EUR 143 million acquisition, refinancing and other facilities for, among other things, the financing of Vexve’s acquisition of Denmark-based Frese A/S, a leading manufacturer of dynamic balancing valves for hydronic networks. Vexve’s combined turnover after the completion of the transaction will be ca. EUR 200 million. Vexve is the leading European provider of valve solutions for the energy sector and selected energy-intensive industries.
Case published 7.2.2025
Castrén & Snellman is acting as the legal advisor to the City of Pori and Pori Energia Oy in the finance arrangement whereby debt facilities in the total amount of EUR 292 million are secured for the purpose of refinancing the existing liabilities and fuelling the future growth of Pori Energia. Pori Energia and its financiers signed a Finnish law governed facilities agreement for this purpose on 13 January 2025. Pori Energia, a multi-utility company, operates in various sectors including district heating, electricity distribution, and electricity generation through CHP and renewable sources. The company also provides wind power services and industrial energy solutions in the Satakunta region where it has c. 60,000 customers.
Case published 6.2.2025