Information for former minority shareholders of Eesti Telekom AS

A decision of the Harju County Court has entered into force, by which the court confirmed that the compensation paid to minority shareholders of Eesti Telekom AS in 2010 as a result of a squeeze out was not fair.  The representatives of minority shareholders have requested that Telia Company AB would pay minority shareholders the additional compensation. As Telia Company AB has not agreed to pay the compensation as a result of the request, the representatives of minority shareholders have once again turned to court.  

The court dispute started in 2010, when minority shareholders filed a claim with the court for additional compensation. The court proceedings concern more than 1500 minority shareholders. The court has appointed partners Carri Ginter and Reimo Hammerberg from Sorainen to act as common representatives of all minority shareholders.  

On 08.05.2017 Telia Company AB informed the shareholders of the possibility to file claims for additional compensation through Raidla Ellex law firm, which will then process the applications. Sorainen has sent an application to Raidla Ellex law firm on 09.05.2017 and has requested the payment of the compensation as foreseen by the court decision together with delay interest for seven years to all minority shareholders. The representatives of the minority shareholders are of the opinion, that the condition of sending additional documents and completing an additional procedure in Raidla Ellex law firm before receiving the compensation is not in conformity with the aim of the law. Moreover, Telia Company AB has not informed the minority shareholders of a possibility to request delay interests.

The representatives of the minority shareholders find that the additional compensation with delay interests and legal fees should immediately be paid to the shareholders and the requests to submit additional documents or applications is not in conformity with the law. Therefore, the representatives have asked the court to confirm that Telia Company AB has the obligation to pay the additional compensation and the delay interests to all minority shareholders solely based on Sorainen’s request and is not allowed to impose additional preconditions for the payment of compensation. The Harju County Court will discuss the matter on 28.06.2017 at 13.00.