As 2023 comes to a close, reflections on the year reveal challenges and achievements across Romania, Bulgaria, and Ukraine. Tuca Zbarcea & Asociatii Managing Partner Gabriel Zbarcea, Schoenherr Bulgaria Local Partner Ilko Stoyanov, and Avellum Managing Partner Mykola Stetsenko share their thoughts on what kind of a year it has been.

In The Corner Office, we ask Managing Partners at law firms across Central and Eastern Europe about their backgrounds, strategies, and responsibilities. As we bid farewell to 2023, this time around we turn our attention forward: What is your one main wish for 2024 and what do you see as the biggest potential risk?

The extended deadline for the implementation of the Directive (EU) 2019/1023 has expired on July 17, 2022. More than a year later, in August 2023, the amendments to the Bulgarian Commercial Act concerning, among other things, insolvency and restructuring rules and procedures were finally published in the Bulgarian State Gazette. Apart from pure alignment with the European legislation, the amendments are aimed at certain long-standing shortcomings of the Bulgarian insolvency and restructuring regime.

Did you know that the early 2024 deal leaderboards are already available via the Activity Rankings function of the CEELMDirect website?

On February 22, 2024, Bulgaria, previously one of the few remaining EU countries without foreign direct investment (FDI) controls, introduced a new FDI screening regime in accordance with the EU FDI Screening Regulation 2019/452 (the “EU FDI Screening Regulation”).

Until recently, Bulgaria was one of the few remaining EU countries not to have adopted a foreign direct investment (FDI) screening regime. However, this was set to change with the introduction of a bill in late June 2023 to amend the Investment Promotion Act. This amendment implements the screening mechanism outlined in Regulation (EU) 2019/452 (the "EU FDI Screening Regulation").

Wolf Theiss, working with Ropes & Gray, has advised IT services company Virtusa on its acquisition of Bulgarian digital innovation, automation, and seamless integration specialist Bright Consulting.

Bulgaria is nearing the home stretch of its Eurozone integration and OECD accession plans, according to CMS Partner Elitsa Ivanova, with renewables, ESG, fintech, and digitalization the hot topics for lawyers and bankers alike.

Djingov Gouginski Kyutchukov & Velichkov has advised Boleron on its two private equity investment rounds in preparation for the company's IPO.

CMS has advised Istanbul-based engineering and construction company Enka on the licensing of its 40-megawatt Town Up 8 photovoltaic project before the Bulgarian Energy and Water Regulatory Commission.

TGS Baltic and Djingov Gouginski Kyutchukov & Velichkov have advised Ifco Systems on its acquisition of Bepco. RASK advised Rostock Capital, Navitas, and Green Technology on the sale.

By Decision of the Court of Justice of the European Union ("CJEU") of 14.12.2023 in case C‑340/21 the CJEU clarified several controversial aspects of the implementation of the GDPR.

Harrisons, Maric & Co, Lambadarios, and Wolf Theiss, working with Linklaters, have advised a banking consortium led by UniCredit Bank London on the United Group's EUR 1.7 billion issuance of four tranches of senior secured and PIK notes as well as on the increase and extension of its EUR 410 million revolving credit facility. Selih & Partnerji, working with Paul Weiss, advised the United Group. Schoenherr, Koutalidis, De Brauw Blackstone Westbroek, and Elvinger Hoss Prussen reportedly advised the United Group as well.

Three years after its launch, e-Justice in Bulgaria is still under construction and improvement and has not yet reached its final form.

CMS has successfully represented the interests of Free Energy Project Oreshets – formerly owned by CEZ and currently a part of the Eurohold Group – in a dispute against the Bulgarian Ministry of Finance.

Dentons, Binder Groesswang, and Djingov Gouginski Kyutchukov & Velichkov have advised UniCredit Bulbank and the EBRD on the financing for Enery Development's construction and operation of a large-scale solar plant in north-eastern Bulgaria set to add 112.5 megawatts of solar power generation to the country's electricity system. Schoenherr reportedly advised Enery Development.

Wolf Theiss has advised the Real Estate Development company on the development of the River Park Sofia project.

Eversheds Sutherland Bulgarian member firm Tsvetkova Bebov & Partners acted as the single transaction counsel on TBI Bank's December 15, 2023, private placement of MREL notes maturing 2026, with a total value of EUR 10 million.