28
Tue, Nov
52 New Articles

Picking Up Speed in Romania: A Buzz Interview with Daniel Alexie of MPR Partners

Picking Up Speed in Romania: A Buzz Interview with Daniel Alexie of MPR Partners

The Buzz
Tools
Typography
  • Smaller Small Medium Big Bigger
  • Default Helvetica Segoe Georgia Times

Romania's markets faced a bit of a slow start to the year but have since overcome it and are back on the right track, according to MPR Partners Partner Daniel Alexie.

“The start of the year was somewhat slower and less energetic when it comes to M&A work,” Alexie begins. “But I would not read much into it – the turn of the year is usually a slower period, with many investors taking a well-earned break and pausing some of their activities.” Indeed, he reports that transactional work has spiked recently, with “IT and tech leading the charge. I feel that the market will only get stronger as the year progresses, to be honest.”

In addition to M&A and transactional work, Alexie reports spikes in activities on account of migration. “Following the beginning of the war in Ukraine, we have seen high numbers of Ukrainian and Ukrainian-controlled businesses setting up shop in Romania,” he says. “We have witnessed movement in various areas, including IT, agriculture, and even the courier businesses. This relocation and, to a degree, expansion of businesses is logical, given the proximity of the two countries and the attractiveness of the business market in Romania,” he explains. “It is a good sign that our neighbors from Ukraine are finding the energy to move forward in these difficult times.”

Turning more to local legislative innovations, Alexie mentions a draft law specifically aimed at lawyers – which was shot down recently. “The draft law proposed setting up a central digital platform, created by the Romanian National Bar Union, which was supposed to be used by lawyers to interact with clients, courts, and other authorities,” he says. 

“If this had passed, lawyers that opted to use it would be expected to undertake all of their digital work through this platform. This created a lot of friction within the legal community, raising concerns about attorney-client privilege, the privacy of personal data, and confidentiality – leading to strong opposition to the proposal,” Alexie explains. Ultimately, the draft law was not to pass, and “one can only wonder if a similar project will appear in the future.”

Finally, from a more practical perspective, Alexie reports a market adjustment. “Following the updates to the trade registry procedures and regulations last November, the market is still adjusting to all of the amendments and innovations,” he says. With the changes to the framework leading to a full digitalization of procedures and processes, Alexie reports that “we still find ourselves in a bit of a transitional period. While there clearly are a lot of benefits – for example, it is much easier to obtain certain documents that are essential for due diligence procedures – there are still some hurdles, for instance when submitting documents in multiple languages.” However, even with the markets still getting used to these innovations, Alexie concludes that “they’re a step in the right direction.”

Romanian Knowledge Partner

Țuca Zbârcea & Asociații is a full-service independent law firm, employing cross-disciplinary teams of lawyers, insolvency practitioners, tax consultants, IP counsellors, economists and staff members. It also operates a secondary law office in Cluj-Napoca (Romania), and has a ‘best-friend’ agreement with a leading law firm in the Republic of Moldova. In addition, thanks to the firm’s dedicated Foreign Desks, the team provides the full range of services to international investors seeking to gain a foothold or expand their existing operations in Romania. Since 2019, the firm and its tax arm are collaborating with Andersen Global in Romania.

Țuca Zbârcea & Asociaţii is providing legal services in every aspect of business, covering all major areas of practice: corporate and M&A; litigation and international arbitration; corporate tax; public procurement; TMT; employment; insurance; banking and finance; capital markets; competition; healthcare and pharmaceutical; energy and natural resources; environmental; intellectual property; real estate; regulatory legal services.

Țuca Zbârcea & Asociaţii is a First-Tier law firm in all international legal directories and a multiple award-winning law firm both locally and internationally. It received the CEE Deal of the Year Award (DOTY Awards 2021) and the Law Firm of the Year Award: Romania (IFLR Europe Awards 2021). 

Firm's website.

Our Latest Issue