One of the significant questions concerning ESG issues is the cost of transitioning to a more sustainable business environment. Will it result in increased financing costs and restricted access to new borrowing, or will it, on the contrary, lead to the development of new market segments and gradual change? While we cannot provide definitive answers to these questions, in this article, we will examine five ESG drivers and regulatory changes that will be pivotal in 2024. From the introduction of the New Green Asset Ratio to the Corporate Sustainability Due Diligence Directive (CSDDD/CS3D), we will explore the conditions associated with these new requirements and the potential penalties for non-compliance.

Wolf Theiss has advised the Toms Group on a multi-partner power purchase agreement in Poland with Better Energy and Eesti Energia Group subsidiary Enefit.

The President of Ukraine has officially signed Law No. 3528-IX “On Amendments to Certain Laws of Ukraine Regarding the State Regulation of Cannabis Plants for Use in Educational Purposes, Educational, Scientific and Scientific-Technical Activities, drugs production, Psychotropic Substances and medicinal products with the aim of increasing patients’ access to the necessary treatment” simply known as the law on cannabis legalisation (the “Medical Cannabis Law”). The Medical Cannabis Law sets forth regulations governing the use of cannabis for educational, scientific, and medical purposes.

In The Debrief, our Practice Leaders across CEE share updates on recent and upcoming legislation, consider the impact of recent court decisions, showcase landmark projects, and keep our readers apprised of the latest developments impacting their respective practice areas.

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?

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.

Vulic Law, working with Gide, has advised the International Finance Corporation on its EUR 160 million financing for Serbia's Drenik ND. Wolf Theiss's Hungarian office reportedly advised the IFC as well.

As of 1 January 2024, a significant portion of the Consolidation Package (Act No. 349/2023 Coll.) came into effect. However, certain modifications introduced by the Consolidation Package in the field of labour law have not yet been fully implemented in practice, while some other notable changes will take effect from 1 July 2024. In our article, we outline key changes and highlight areas for which there are further legislative revisions in the pipeline.

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.

Did you know that, using the Activity Rankings function of the CEELMDirect website, you can look up the 2023 deal leaderboards in each CEE market, including Bosnia and Herzegovina, Moldova, Montenegro, North Macedonia, and Slovenia?

A reorganisation of the authorities regulating the pharma sector and new legislative pieces have brought notable changes to the life sciences sector in Hungary.

Did you know that, according to the Activity Rankings function of the CEELMDirect website, a total of twenty law firms and seventeen individual lawyers worked on five or more reported Romanian client matters in 2023? 

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

Once implemented, those initiatives will require significantly more efforts from parties involved in trade and foreign investments to ensure regulatory compliance. The pursued security aims will lead to enhanced monitoring, assessments and controls being put in place, which will have to be factored into a reframed regulatory compliance approach by affected parties.

Wolf Theiss and Cobalt have advised Accession Capital Partners Credit on a EUR 10 million credit facility granted to Mogo IFN.

Wolf Theiss and Balicki Czekanski Gryglewski Lewczuk have advised MidEuropa Partners and Accel-KKR portfolio company Symfonia on its acquisition of Softeh Plus. PwC Legal Romanian affiliate D&B David and Baias advised the shareholders of the Romanian software company.

This year several employment law rules of practical relevance will change in Hungary. These changes will have different entry into force dates, and are all briefly summarised below.

Changes to the Croatian Labor Act, governing work for digital platforms, took effect on January 1, 2024. Croatia opted to regulate platform work before the formal adoption of the EU Platform Work Directive. What are the main novelties?