Category: Hungary

Dentons has announced the arrival of Susan Wang to the firm’s Budapest office as head of Dentons’ new CEE China Desk, where she will focus on cross-border M&A, private equity transactions, joint ventures, and other corporate initiatives, prioritizing Chinese inbound M&A activity into the CEE/SEE region.

In a statement released by the firm, Denton describes the move as “strengthen[ing] its capabilities to support Chinese investment into Central and Eastern Europe.”

A Chinese and US-qualified lawyer, Wang previously worked in Dentons’ Beijing office, where she advised clients in cross-border transactions in, among others, the manufacturing, energy, power, and natural resources industries. Prior to that she worked for Morrison & Foerster in Shanghai as well as King & Wood Mallesons in Beijing. Susan holds a BA in Law from the China University of Political Science and Law, and has also studied at the TLBU School of Law in Seoul and the Boston University School of Law.

In November 2015, Dentons and Chinese firm Dacheng formally combined to create the world’s largest law firm by lawyer headcount. According to Dentons, “Susan Wang’s arrival and the creation of Dentons’ CEE China Desk is one example of the Firm’s unrivaled capability to serve Chinese trade, M&A and investment relations across all markets.”

Tomasz Dabrowski, Chief Executive Officer of Dentons Europe, commented, “Susan Wang’s appointment and the creation of the CEE China Desk are major steps forward in our ability to support one of the most important trade and investment relationships in today’s global economy.”

“Chinese M&A and investment activity is on the rise in CEE/SEE, and Dentons has already advised on many of the most recent M&A transactions in the region, including China Energy Company Limited’s acquisition of a majority stake in leading Black Sea energy group KMG International”, said Rob Irving, Co-head of the Europe Private Equity group. “With the creation of the CEE China Desk, Dentons is capitalizing on its unique polycentric character to tap this new stream of client demand. With her proven transaction experience in China, Susan Wang will help further develop our Corporate and M&A practice in the region and bring added value to our Chinese clients.”

Istvan Reczicza, Hungary Managing Partner at Dentons, added, “It is a pleasure to welcome Susan Wang to the team. Her appointment and the creation of the CEE China Desk demonstrate the role of our Budapest office as a hub for key cross-border deals and client relationships across the CEE/SEE region.”

Orban & Perlaki Attorneys (OPL) has announced that Gabor Kovacs has become a Partner at the firm.

Kovacs started his legal career in 2007, training within PwC’s corporate law, M&A, real estate, and financing practices, and later spent three years advising the CEO of a major Hungarian IT outsourcing, electronic billing, and e-payment service provider.

He joined OPL in 2012, soon after the law firm was founded. According to OPL, “throughout his time at OPL, he has carried out multiple cross-border transactions, commuting between CEE state capitals, and has worked abroad in several places across Europe, from Paris to Bucharest.”

Kovacs’s clients include Pannonia Ethanol, which he advised in several major financing and refinancing projects and transactions, and a number of regional companies in the agricultural and e-payment sector, as well as Ethanol Europe, Dijnet, AgroVIR, Sparkassen, and SEB.

OPL Partner Miklos Orban commented on Kovacs’s promotion: “Gabor has been with us from the early days of our business. Over the last five years, Gabor has proven to be a great corporate lawyer with exceptional management skills. His ‘out-of-the-box’ approach to legal business is a perfect fit to OPL and its clients. Gabor’s promotion is not only an appreciation of his achievements, but also a sign of our rapidly growing business.”

Kovacs also commented on his new role: “I consider my main task to be the broadening the client base of our law firm, especially in the field of renewables and other innovative industries. At the same time, I would like to carry on supporting our growth as an independent, international corporate law firm by assisting our clients in their needs throughout the CEE region. Amongst others, our expertise in the field of privacy and ICT law provides a solid foundation to achieve these goals.”

Kinstellar has advised Prologis (on behalf of Prologis European Properties Fund II) on its acquisition of the M0 Central Business Park, located at Szigetszentmiklos on the M0 ring road around Budapest, from the Logidune Kft. logistics real estate developer. Noerr advised Logidune on the deal.

The logistics park boasts 31,000 square meters of leasable area, all leased by what Kinstellar describes as “strong international tenants.”

Kinstellar describes Prologis as “a global leader in industrial logistics real estate across the Americas, Europe, and Asia,” and reports that “Prologis’ portfolio in Hungary totals more than 640,000 square meters of warehouse space and includes eight parks (39 buildings) located in the greater Budapest area (Gyal, Harbor Park, Szazhalombatta, Szigetszentmiklos, Ullo, Paty, Budaors) and Hegyeshalom.” According to Kinstellar, “with such a large portfolio, Prologis is the leading distribution space provider in Hungary, having one of the highest market share of existing industrial space.”

Logidune is part of the IDI Gazeley Group, which is overseen by Brookfield Property Partners, a global real estate owner, operator, and investor with USD 145 billion assets under management.

The Kinstellar team advising Prologis was led by Partner Anthony O’Connor, and included Managing Associate Akos Mates-Lanyi and Junior Associate Laszlo Palocz. 

The Noerr team advising Logidune was led by Budapest-based Partner Zoltan Nadasdy, supported by Berlin-based Partner Astrid Frense and Budapest-based Senior Associate Szilvia Andriska.

CMS Cameron McKenna has advised the China CEE Investment Co-operation Fund, advised by CEE Equity Partners, on its acquisition of 99.9% of Magyar Telecom B.V.’s holdings in the Invitel Group. Dechert involved Magyar Telecom (“Matel”) on the deal, which was approved unanimously by Matel’s Board of Directors, but remains subject to shareholder and Hungarian competition authority approval. White & Case, Clifford Chance, Dentons, and Lakatos Koves & Partners advised on the new security package. 

The sale values the Invitel Group at an enterprise value of EUR 202 million, or 4.5x 2015 EBITDA. Approval of the company’s 49% shareholder, Matel Holdings Limited, is being solicited via a consent request, distributed via the customary channels. Matel Holdings Limited shares are stapled to Matel’s senior secured notes due June 2018 as units. The notes will be redeemed upon completion of the sale. Matel’s 51% shareholder, Mid Europa Partners, has expressed its support of the sale.

Competition Authority filings are being submitted parallel to the shareholder consent process. Should shareholder consent be obtained, the sale is estimated to complete in the second half of February, upon Competition Authority approval. Upon completion of the sale, Matel will redeem the notes, distribute the net transaction proceeds to shareholders, and wind itself up. Distributions to holders of the units will be made as soon as practical after completion.

Magyar Telecom B.V. is the holding company for the Invitel Group, a leading Hungarian infrastructure-based telco and IT service provider. Matel’s holdings in the group are the subject of the sale: Invitel Zrt., Invitech Solutions Zrt., Invitel Central Services Zrt. (each 99.991487%), and Invitel Technocom Kft. (100%).

Invitel Zrt. offers a portfolio of services for residential and small business customers, including a variety of multimedia and entertainment services such as interactive, 3 digital and High Definition television, and fast Internet offerings and telephony services across its regional networks. Invitech Solutions Zrt. is an IT, datacenter, and telco provider to 6,000 midsize, enterprise, government, and wholesale customers nationwide. Invitech Solutions Zrt. has network in all top 100 cities in Hungary, has a 9000-kilometer national backbone network with 11 border-crossing points and operates six high-spec data centers. 

Commenting on the transaction, Mark Nelson-Smith, Chairman of Matel, said “The Invitel Group has achieved an impressive operational turnaround over the past several years, returning to EBITDA growth starting in 2015 after a decade of decline. The China CEE Fund and CEE Equity Partners will provide the Company with the support and stability to develop its business further. We wish management and the entire Invitel team continued success.” Tamas Szalai, CEE Equity Partners Investment Director, said that “the Invitel Group’s focus on residential fiber developments and converged B2B IT-telco solutions is a winning strategy. We are fully committed to support the Invitel Group’s strategic development efforts.”

The CMS team was led by Partner Aniko Kircsi and included Partner Dora Petranyi, Senior Counsel Corporate Gabor Gelencser, and Senior Associate Szabolcs Szendro.

The Lakatos Koves & Partners team consisted of Partners Szabolcs Mestyan and John Fenemore and Trainee Lawyers Balazs Rokob and Kristof Nemeth.

Imagesource: invitelcsoport.hu

Oppenheim has announced that IP/IT specialist Aron Laszlo has become a Partner at the firm.

Laszlo began his legal career with Freshfields in Budapest in 2002 (the office turned into Oppenheim when Freshfields withdrew from Hungary in 2007). In 2005, he left to join the S.B.G.& K. Law Firm, where he stayed until December 2013, at which point he returned to Oppenheim. 

Since 2009 Laszlo has been giving seminars on EU intellectual property law at PPKE University Budapest. In addition to his professional responsibilities, he is the songwriter and guitarist in the rock band Crescendo, so, according to Oppenheim, “his interest in copyright issues extends beyond business into his personal life.”

“Aron is a highly experienced and ambitious practitioner, who has proven that it entails very high efficiency benefits for our clients to have their patent, trademark and design matters be handled by our firm in a ‘one-stop-shop”’ system, along with their further legal matters,” said Ivan Bartal, leader of the firm’s IP/IT practice. “Aron’s election to partner is a clear message towards our clients: Oppenheim offers special attention to industrial property matters.”

Dentons has advised Skanska on the sale of the Nordic Light office complex in Budapest to Erste Alapkezelo Zrt, a subsidiary of Erste Asset Management GmbH. NGYL Partners advised Erste on the deal.

The Dentons team consisted of Partners Judit Kovari and Pawel Debowski, Of Counsels Ádam Kaplonyi and Marcell Szonyi, Associate Boglarka Joo, and Junior Associates Zsofia Lascsik and Tamas Nemcsok.

Kinstellar has successfully advised on the sale of the Office Garden 1 building to FLE GmbH, part of the French LFPI group.

The property covers 16,000 square meters of leasable area, with international tenants including Tata, Hewlett Packard, and Sophos.

The Kinstellar team was led by Partner Anthony O’Connor, who commented that: “We are pleased to have had the opportunity to advise on the disposal of such a high quality office asset, with high occupancy and a strong tenant roster. This project was a great opportunity for our team to again showcase its expertise in the real estate sector.”

O’Connor was supported by Kinstellar Managing Associate Monika Frank, Associate Ferenc David, and Junior Associates Laszlo Palocz and Barnabas Sagi.

Editor’s Note: After this article was published, bpv Jadi Nemeth announced that it had advised the Our firm carried out the pre-acquisition due diligence and provided complex advisory for the buyer FLE GmbH during the whole course of the purchase of this high quality real estate. The firm’s team was led by Marc-Tell Madl and included Partner Attila Kovacs and Senior Associate Balazs Kovacs.

According to bpv Jadi Nemeth, “FLE GmbH … is headquartered in Vienna, Austria and received full administrative and professional support of the German native speaker colleagues at bpv Jadi Nemeth.” Marc-Tell Madl commented that: “We were happy to provide legal support for another German speaking client in a strategically important deal securing the first step in our client’s expansion into the CEE market.”

Image Source: officerentinfo.hu

Nagy es Trocsanyi has announced that Boglarka Szantho has been promoted and became a Partner at the firm on January 1, 2017. 

According to Nagy es Trocsanyi, “Boglarka is a Hungarian attorney admitted to the Budapest Bar and holds a degree from ELTE, Hungary. She joined Nagy es Trocsanyi as a Trainee in 2007 and has been with the firm ever since. She has significant experience in complex commercial litigation, domestic and international arbitration cases but she also gained experience in M&A transactions, corporate and real estate matters. She currently focuses on construction law and successfully represents clients in complex disputes arising out of FIDIC forms of contract.”