The European Union has initiated the world’s first carbon border tax, called the Carbon Border Adjustment Mechanism (CBAM). The CBAM Regulation was ratified by EU co-legislators on May 10, 2023, and became legally effective on May 16, 2023 following its publication in the EU Official Journal.

Divjak Topic Bahtijarevic & Krka has advised Plava Laguna on the sale of Bonavia – a four-star hotel in Rijeka – to Bonavia Rijeka. Savoric & Partners advised the buyers.

Savoric & Partners has advised Studenac on its acquisition of La-Vor Trade. Law Office Korotaj advised sellers Igor Bodrozic and La-Vor Trade DOO on the deal.

CMS Bardek Lisac Musec Skoko and Partners has advised Global Offshore Engineering Group owner Matko Zuanic on the full acquisition of Adria Winch, including the indirect acquisition of Dalstroj. Ivkovic & Kruc advised Adria Winch Group shareholders Marin Srzentic, Milivoj Peruzovic, and Ivo Jercic on the sale.

With CMS’s recently published European M&A Outlook report taking the temperature of the M&A activity across the continent, CMS Romania Managing Partner Horea Popescu and CMS Vienna Partner Alexander Rakosi share their insights on M&A trends in the CEE region.

In The Corner Office, we ask Managing Partners at law firms across Central and Eastern Europe about their backgrounds, strategies, and responsibilities. Shifting our focus to the financial aspects of legal work, we asked: What percentage of your issued bills end up being overdue, what percentage end up never paid, and what is your firm’s/office’s standard methodology to handle both cases?

Terminating an employee is a critical juncture for employers, fraught with potential risks and complications. Such a move can disrupt workflow and productivity, casting a shadow on workplace morale and organizational stability. Additionally, it opens the door to legal disputes, with terminations often seen as unfair or discriminatory, resulting in costly litigation.

Kinstellar has advised S Immo on the sale of its Eurocenter office building in Zagreb – with an asset value of EUR 26.5 million – to Atlantic Grupa.

The Fortenova restructuring, legislative updates impacting labor, the gig economy, and immigration, and the fallout of the judicial strike are all high on the agenda in Croatia, according to BDV Legal Partner Marko Bohacek, who – despite the weather outside – maintains a sunny outlook of Croatia's economy.

Ilej & Partners, in cooperation with Karanovic & Partners, and Dentons have advised the EBRD on its agreement with Croatia’s Mplus Group regarding a EUR 60 million investment for a 28.3% stake in M Plus Croatia. Mamic Peric Reberski Rimac and White & Case advised the Mplus Group, including M Plus Croatia and its majority shareholder Meritus Ulaganja.

This year has seen a relative decrease in investment intensity in Croatia, particularly in the residential sector, amid relatively robust activity in M&A, real estate, and energy and notable court disruptions in the past few months, according to Savoric & Partners Partner Branko Bulat.

Allen & Overy has advised a syndicate of ten banks on Bina-Istra’s EUR 1.1 billion refinancing of the Istrian Epsilon project and the debt financing of the construction, management, and maintenance of the new phases of the Adriatic highway in Croatia.

Croatia's economic outlook has improved with the eurozone entry, energy market reforms, and new and exciting equity programs and legislative changes, while judiciary labor strikes have challenged the country's courts, according to Marohnic, Tomek & Gjoic Partner Tena Tomek.

Divjak Topic Bahtijarevic & Krka has advised Hungary-based fruit and tree nut farming company Apple Heaven on the purchase of shares in Rabo.

Following global trends, Croatia has seen rapid growth in influencer marketing in the past few years. On one hand, the main benefit is evident: partnering with the right influencer helps a brand grow exponentially. On the other hand, same as with social media posts, the accompanying legal and reputational risks can go viral in no time, so brand companies, marketing agencies, and influencers should tread carefully.

Miskovic & Miskovic has advised Infinum on a EUR 10.8 million loan from the EBRD. Mamic, Peric, Reberski, Rimac reportedly advised the EBRD.

Complaints (under Croatian competition law also referred to as “initiatives”), through which different market players may inform the Croatian Competition Agency (CCA) of suspected infringements of competition laws, have been introduced in the Croatian Competition Act back in 2010 and are not a novelty. Complaints have proved to be a useful tool that brought certain competition law violations to the attention of the CCA and helped detect and correct discrepancies in the market.

During the Three Seas Initiative annual general meeting in Bucharest in September 2023, Austria's Dorda, Bulgaria's Boyanov & Co., Croatia's Divjak Topic Bahtijarevic & Krka, the Czech Republic's Kocian Solc Balastik, Estonia's Ellex Raidla, Hungary's Lakatos Koves & Partners, Latvia's Ellex Klavins, Lithuania's Ellex Valiunas, Poland's Wardynski and Partners, Romania's Nestor Nestor Diculescu Kingston Petersen, Slovakia's Barger Prekop, and Slovenia's Selih & Partnerji announced they formed the Three Seas Legal Alliance, in recognition of the progress made by the Three Seas Initiative.