The Czech economy entered a deep slump in 2023 caused by the rather rare and unfortunate combination of negative economic and geopolitical factors, including one of the highest inflation rates in the EU, rising interest rates, high energy prices, a large public finance deficit, and the adverse impacts of the war in Ukraine. Altogether, these economic difficulties resulted not just in an economic recession but also adversely affected the Czech M&A market.

In The Corner Office, we ask Managing Partners at law firms across Central and Eastern Europe about their backgrounds, strategies, and responsibilities. Given the dynamic and ever-evolving nature of the legal profession, we asked: What is the one critical skill that you’re investing time and energy in to develop within your team, and why?

The annoying length of the construction permitting process in the Czech Republic became a notoriety. Thanks to this, the prices of new dwelling premises are sky-high, and foreign investors are leaving their projects because they are unable to plan their investment – a striking example of which is the recently abandoned Microsoft project of a new data center in Prague.

The amendment to the Code of Administrative Justice, slated to take effect on 1 January 2025, will bring many changes.

Havel & Partners has advised HP Invest on its full acquisition of HP Tronic from Genesis Private Equity Fund III.

Clifford Chance has advised Ceskoslovenska Obchodni Banka and Ceska Sporitelna on the financing for Oriens group member Central European Retail Holding's acquisition of the Hruska retail chain through the full acquisition of Hruska and Sempronemo. Clifford Chance also advised Oriens on the acquisition transaction.

We bring you a brief overview of important legislative news from the Czech Republic that should not escape your attention.

In 2024, the conditions for obtaining an employment agency permit will be further tightened.

Former Home Credit International Legal Manager Martin Seda has been promoted to the Chief Legal & Compliance Officer position for the group.

E+H has advised PAI Partners on the acquisition of VAMED Group's rehabilitation business from Fresenius. Schoenherr, working with Latham & Watkins, advised the sellers. Reportedly, Willkie Farr & Gallagher, Novacos, Baer & Karrer, KNPZ Rechtsanwaelte, and Havel & Partners advised on the deal as well.

Glatzova & Co has helped Pale Fire Capital obtain a license from the Czech National Bank for an investment company authorized to exceed the so-called "decisive limit."

PwC Legal has advised Orlen Unipetrol Group on Orlen Projekt's acquisition of design and engineering activities from Brno-based UNIS and UNIS Power. Forlex advised the seller.

Glatzova & Co has advised Bohemia Properties on the sale of land in Strizkov to be used for a residential project to Daramis.

Havel & Partners has announced it opened an office in Frankfurt am Main on May 1, 2024. The new German office will be managed by former Squire Patton Boggs Partner Philip Smitka.

Kinstellar has advised Dig Ventures on its strategic investment into Czech mobile application security start-up Talsec.

This Top 10 Corporate Law Judgments 2023 summary provides a clear and concise overview of key Supreme Court decisions in corporate law for 2023.

CMS has appointed Tomas Matejovsky as the new Managing Partner of CMS Prague and Juraj Fuska as the new Managing Partner of CMS (CMNO) in Bratislava, effective May 1, 2024.

Clifford Chance has appointed Milos Felgr as its new Managing Partner of its Prague office, effective May 1.