Category: Uncategorized

  • White & Case Advises on FIOMO Sale

    White & Case Advises on FIOMO Sale

    White & Case represented the shareholders (Czech private individuals) of FIOMO a.s., a privately-owned manufacturer of flexible packaging foils and labels, in the approximately EUR 28 million (debt-free) sale to the Huhtamaki group, a Finnish group of specialists in packaging for food and drink. Peterka & Partners advised the Huhtamaki group. The transaction is expected to be finalized in early 2016.

    FIOMO, which employs approximately 120 people in its manufacturing unit in the Prague area, reported net sales in 2014 of approximately EUR 21 million. 

    “I am pleased to announce this addition in our flexible packaging manufacturing network,” says Olli Koponen, Executive Vice President, Flexible Packaging. “European flexible packaging market is experiencing a positive momentum, with increasing versatility in customers’ needs. FIOMO’s manufacturing capabilities complement our offering and ensure better resourcing and faster response when serving our customers across Europe.”

    The White & Case team consisted of Partners Michal Smrek, Alena Naatz and Ales Zidek, working with Associates Jan Stejskal and Jakub Mencl. 

    Peterka & Partners did not reply to our inquiry on the matter.

    Editorial Note: After this article was published, Peterka & Partners informed us that the transaction is expected to close in early 2016, and that the firm’s team on the deal was led by Partner Premysl Marek, supported by Ondej Majer, Petr Ríha, Magda Prchalova, Marketa Hanzlikova and Petr Hradil.

    Image Source: fiomo.com

  • YUST Promotes Pair to Partner

    YUST Promotes Pair to Partner

    Russia’s YUST law firm has announced that Roman Cherlenyak and Vasiliy Raudin will become Partners in the firm’s Moscow office on January 1, 2016.

    Cherlenyak specializes in Employment law, Competition law, Corporate/M&A, and PPP, particularly in the telecom and aviation/defense industries. He graduated from the O.E.Kutafin Moscow State Academy of Law in 2009, and joined YUST that same year.

    Raudin, who leads the firm’s Bankruptcy Group, specializes in Bankruptcy, Contracts, Family Law, Estate Law, Litigation and Arbitration, and Real Estate, focusing particularly on the aviation/defense banking/finance, IT, sport, Pharma, Mining, oil & gas, telecom, retail, and chemical industries. He graduated from the M.C. Lomonosov Moscow State University in 2010, and joined YUST that same year.

    According to YUST Managing Partner Evgeny Zhilin, the decision to promote the pair was made at the firm’s December 24th Partner Meeting. In a firm press release, the YUST Partners expressed their hope that, in their new roles, Raudin and Cherlenyak would “be able to give a new quality impetus to the development of the firm.”

  • Jeantet and DLA Piper Advise on Prolongation of Dior Lease in Kyiv

    Jeantet and DLA Piper Advise on Prolongation of Dior Lease in Kyiv

    Jeantet has advised Dior on the prolongation of its lease of a 500-square-meter historic building for the company’s boutique in the Kyiv city center. DLA Piper advised the unnamed landlord on the deal, which allowed Dior to re-open its boutique in Kyiv after an interruption of over six months.

    The Jeantet team was led by Partner Bertrand Barrier, supported by Counsel Illya Tkachuk.

    The DLA Piper team was led by Partner Natalia Kochergina, who heads the Ukrainian Real Estate Practice, with key input from Senior Associate Oleg Matiusha and Legal Director Illya Sverdlov. “Renewal of plans for long term presence in Ukraine of such a luxury maison as Dior is a very positive sign for the Ukrainian retail market. We are happy to be a part of this,” said Kochergina.

    Image Source: www.dior.com

  • New Partner at TSAA

    New Partner at TSAA

    Alexandra Radu has become a Partner at TSAA Attorneys at Law, only three months after joining the firm as a Managing Associate. Radu has more than 10 years of experience in Corporate/M&A, Commercial Law, and Competition Law, and at TSAA she coordinates the Corporate and M&A department alongside Silviu Stratulat, the firm’s Managing Partner.

    According to a TSAA press release, “among other significant representations, Alexandra assisted a major international fitness and wellness company, one of the key players on the Romanian market, in connection to a potential major acquisition, as well as the restructuring of the group by merging two fitness centers with the parent company. In addition, Alexandra assisted an important internet, television and communications service provider regarding a potential acquisition and vertical business integration. She has also provided legal consultancy services to a global IT, software and payment processing service provider regarding the potential acquisition of an important group of companies in Romania.”

    Radu began her legal career at Hayhurst Robinson in February 2006, then moved over to CMS when the firms merged in May of that year. She stayed at CMS until September of this year, at which time she moved to TSAA. She obtained her Bachelor’s Degree in Law in 2005 and an LL.M. in Business Law in 2006, both from the University of Bucharest.

  • Havel, Holasek Advises HB Reavis on Office Building Sale in Bratislava

    Havel, Holasek Advises HB Reavis on Office Building Sale in Bratislava

    Havel, Holasek & Partners has advised HB Reavis on its EUR 46.2 million sale of the Forum Business Center I building (‘Forum BC I’) in Bratislava to CS Nemovitostni Fond. The building — located at the junction of Bajkalska and Prievozska streets in the Slovakian capital — consists of seventeen stories and three basement levels, with over 18,500 square meters of leasable space, and it has been the headquarters of Slovak Telekom since 2013.

    CS Nemovitostni Fond is managed by REICO Investicni Spolecnost Ceske Sporitelny, a wholly-owned subsidiary of Ceska Sporitelna, which is itself a member of Erste Group. Its fund capital exceeds EUR 275 million. 

    Havel, Holasek did not reply to inquiries on the matter.

    Image Source: www.breeam.com

  • White & Case Advises Consortium on Acquisition of Stakes in Hungarian Motorway Concessions

    White & Case Advises Consortium on Acquisition of Stakes in Hungarian Motorway Concessions

    White & Case has advised a consortium consisting of Aberdeen Asset Management, Intertoll, and the European Bank for Reconstruction and Development on its acquisition of controlling stakes in two Hungarian motorway concession companies. The consortium is acquiring 80% of M6 Duna Autopalya Koncesszios Zrt and 90% of M6 Tolna Autopalya Koncesszios Zrt, in a joint transaction where leading Austrian real estate developer UBM Development AG (through its subsidiary PORR Infrastruktur Investment AG) and Bilfinger Project Investments GmbH, are each selling identical stakes of 40% and 45%, respectively, in the entities sold. Hogan Lovells advised the sellers.

    Aberdeen Asset Management is a global investment management group which manages assets for both institutional and retail clients worldwide. Intertoll Europe is an independent global PPP motorway infrastructure developer, road operator, and tolling solutions provider, with its European head office in Budapest. It is owned by Group Five Limited, one of Africa’s largest construction groups, and currently operates in Europe, Africa, and the US. 

    The White & Case team advising on the transaction was led by Paris-based Partner Victoria Westcott and London-based Partner John Cunningham with support from Paris-based Associates Olivier le Bars, Boris Kreiss, Elaine Porter, and Kenza Bounjou, and London-based Associates Tom Cambidge and Jee Ha Kim.

    Editorial Note: After this article was written, Dentons informed us that Partners Istvan Reczicza and Edward Keller, Counsel Marton Kertesz, and Associate Reka Szaloky from its Budapest office — all of whom moved over from White & Case to Dentons in 2015 — had served as local counsel to White & Case on the deal. 

  • Paksoy and Bezen & Partners Advise on EBRD Investment in Akfen Renewable Energy

    Paksoy and Bezen & Partners Advise on EBRD Investment in Akfen Renewable Energy

    Paksoy has advised the European Bank for Reconstruction and Development on its USD 100 million acquisition of a 20% stake in Akfen Yenilenebilir Enerji — the renewable energy subsidiary of Akfen Holding. DLA Piper was international legal counsel to the EBRD, and Bezen & Partners advised Akfen Holding.

    Akfen Yenilenebilir Enerji (Akfen Renewable Energy or AkfenRE) will own a portfolio of renewable projects, including operational hydro and solar power plants and several wind, solar, and hydro projects under development, with a total operational capacity of 210MW.

    The EBRD investment — its first direct equity investment in Turkey’s power sector — will help AkfenRE to almost triple the size of its renewable portfolio to over 500MW of installed capacity and to become one of the largest producers of renewable energy in Turkey. As a shareholder, the EBRD will nominate a member for the board of AkfenRE and will help further advance the company’s corporate governance and competitiveness.

    Nandita Parshad, EBRD Director for Power and Energy Utilities, said: “We are pleased to enter into a strategic partnership with Akfen to scale up the development of renewable sources of energy in Turkey. We already have a strong relationship with Akfen in a number of sectors and look forward to success as partners in the energy sector. Turkey has set itself ambitious targets. We will be part of the solution.”

    Suha Gucsav, CEO of Akfen Holding, added: “Energy investments play a key role for our company’s growth and the EBRD funds will be used to strengthen our activities in the area of renewables. We are in the process of developing a balanced portfolio in the medium to long-term with sustainable generation in all segments of the energy sector. To achieve this goal we are planning to continue diversifying by investing in hydro, wind and solar projects. The shareholder agreement with the EBRD is one of the main steps for us in this process.”

    The Paksoy team was led by Partners Elvan Aziz and Zeynel Tunc, supported by Senior Associate Asli Kehale Altunyuva.

    The Bezen & Partners team was led by Senior Partners Serdar Bezen and Nadia Cansun and Senior Associate Ugur Sebzeci. 

    DLA Piper did not reply to an inquiry on the matter.

  • Interstate Aviation Committee Has Its Powers Curtailed in Russia

    Interstate Aviation Committee Has Its Powers Curtailed in Russia

    On November 28, 2015, the Russian government issued Decree No. 1283, relieving the Interstate Aviation Committee (“IAC”) of its authority to carry out aircraft type certification. Such authority will now vest in the Federal Air Transportation Agency (“Rosaviatsiya”). This constitutes a fundamental change to the aircraft certification system in Russia, which had remained unaltered for more than 20 years.

    REGULATION PRIOR TO ADOPTION OF DECREE NO. 1283

    The IAC, an umbrella interstate body, was established by Decree No. 5 of the Council of the Heads of Government of the Member States of the Economic Community, dated December 6, 1991, and the Treaty on Civil Aviation and Use of Airspace, signed in Minsk on December 12 – 25, 1991. The Decree and Convention were signed by all members of the Commonwealth of Independent States (“CIS”): Azerbaijan, Armenia, Belarus, Georgia, Kazakhstan, Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, Ukraine and Uzbekistan. Georgia is no longer a member of the CIS and does not participate in the Convention.

    These documents did not spell out the powers of the IAC in detail, while in respect of the Russian Federation, this body was endowed with the necessary powers pursuant to Decree No. 367 of the Government of the Russian Federation on Improving the System of Certification and the Procedure for Investigating Aviation Incidents in Russian Civil Aviation, dated April 23, 1994.

    Decree No. 367 essentially brought the IAC up to the level of a federal executive body and granted it a number of powers, including certification of aircraft and their components by type for the purposes of their operation in Russia. At the same time, the actual procedure for carrying out aircraft type certification was governed by the Aviation Rules, Part 21, Certification of Aircraft and Aircraft Developers and Manufacturers. Each aircraft type had to pass IAC type certification prior to being permitted to fly in the Russian Federation.

    It must be noted that under Russian law aircraft may only be operated if an airworthiness certificate has been issued by Rosaviatsiya upon presentation of a type certificate.

    SUSPENSION OF BOEING 737 TYPE CERTIFICATE

    On November 4, 2015, the IAC sent a letter to the U.S. Federal Aviation Authority (the “FAA”) stating that because the pitch control system in these aircraft needed to be improved, it was suspending the validity of the type certificate for the Boeing 737 Classic and NG family of narrow-bodied aircraft, until such time as Rosaviatsiya and the FAA confirmed to the IAC that it was completely safe to operate these aircraft.

    It is assumed that the crash of a Boeing 737 in Kazan in November 2013 gave the IAC cause to doubt the safety of the pitch control system.

    Rosaviatsiya, in turn, declared that the operation of Boeing 737s in Russia should not be suspended. Nevertheless, these developments led to serious concerns in the Russian aviation market, which was at risk of being paralysed, with the Boeing 737–one of the most popular aircraft types in the world as well as in Russia.

    NEW REGULATION OF AIRCRAFT TYPE CERTIFICATION

    Following the above events the Russian government adopted Decree No. 1283, pursuant to which the IAC was relieved of its certification powers. These powers, including the power to enforce compliance with aircraft type design requirements, were transferred to Rosaviatsiya. It is anticipated that the relevant regulations will shortly be issued governing the procedure for aircraft type certification by Rosaviatsiya.

    This change in regulation should, without a doubt, be regarded as a positive shift in the aircraft certification system in Russia. As a supranational umbrella body, the IAC was not directly subordinate to the Russian governmental authorities. At the same time, in addition to the above situation regarding the suspension of the type certificate for the Boeing 737 family of aircraft, there had already been criticism leveled at the work of the IAC previously. For instance, in 2013 Aeroflot was unable to commence operation of its new Boeing 777-300ER aircraft as announced because the IAC had not issued the relevant type certificate.

    It is to be hoped that the introduction of new aircraft types, both foreignmanufactured and domestic, will not be hampered by glitches during the transition period.

    By Alan V. Kartashkin, Partner, Dmitry A. Karamyslov, Associate, Dmitry S. Stakheev, Associate, Debevoise & Plimpton

  • White & Case and A&O Advise on EPH Acquisition of Stake in Slovenske Elektrarne

    White & Case and A&O Advise on EPH Acquisition of Stake in Slovenske Elektrarne

    White & Case has advised Energeticky a prumyslovy holding (EPH) on the agreement by its subsidiary, EP Slovakia BV, to acquire a 66% stake in Slovenske elektrarne, a.s. from Enel Produzione S.p.A., a subsidiary of Italy-based multinational power company Enel S.p.A.  Allen & Overy advised Enel on the sale.

    EPH — a leading Central European energy group operating mainly in the Czech Republic, Slovakia, and Germany — includes 40 companies and employs more than 10,000 people. Slovenske elektrarne is a leader in the Slovak electricity generation market with installed capacity of around 4,521 MW, of which around 1,940 MW is from nuclear power generation.

    The transaction will be executed by a transfer of Enel Produzione’s entire stake in Slovenske elektrarne to a newly-established holding company, and the eventual two-phase acquisition by EP Slovakia of 100 percent of the holding company’s share capital. The closing of the deal, for a total consideration over the two phases equal to EUR 750 million, is also subject to clearance from the European Union’s antitrust authorities.

    “This was a highly complex transaction that required careful navigation through a number of challenging issues,” said Bratislava-based White & Case Partner Marek Staron, who led the firm’s deal team. “The cross-border White & Case team provided support to the EPH team which ensured the deal’s challenges were met successfully.” White & Case previously advised EPH on its agreement at the end of 2014 to acquire Eggborough Power Limited, an independent power producer that owns the coal-fired 2 GW Eggborough Power Station in North Yorkshire (reported by CEE Legal Matters on November 6, 2014). 

    The White & Case team that advised on the transaction was led by Staron, and included Partners Ian Bagshaw and John Cunningham (both in London) with support from Bratislava-based Associate Zoran Draskovic and London-based Associates Tom Cambidge and Laura Hoyland.  

    The Allen & Overy team was led by Bratislava-based Partner Martin Magal, with support from Brussels-based Partner Dirk Arts, Senior Associates Vojtech Palinkas, Peter Stastny, Katarina Matulnikova, Juraj Gyarfas, Koen Shama, and Associates Tomas Demo, Tomas Bury, Sophie Pabbruwe, Cecile Witlox, and Imke Poos.

    Image Source: epholding.cz

  • Wolf Theiss Advises Vienna Insurance Group on Shareholding Increase in Ukrainian Insurance Company

    Wolf Theiss Advises Vienna Insurance Group on Shareholding Increase in Ukrainian Insurance Company

    The Ukrainian office of Wolf Theiss advised and represented Vienna Insurance Group (VIG) in its acquisition of the remaining 20% shareholding in Ukraine’s Globus insurance company, giving the VIG Group full ownership of the company.

    Vienna Insurance Group is the insurance market leader in Austria and Central and Eastern Europe. VIG has been actively working in the Ukrainian market for over 10 years. With a market share of 4.4%, in the first half of 2015 VIG —  which offers risk insurance services and life insurance products — was the third largest player in the Ukrainian insurance market.

    During the transaction Wolf Theiss advised VIG on corporate, regulatory, and employment law matters, then handled the closing. The Wolf Theiss team was led by the Head of Banking and Finance Oksana Volynets and included Associates Anna Kvederis and Olena Kravtsova, working under the supervision of Kyiv Managing Partner Taras Dumych. 

    Taras Dumych commented on the transaction: “It has been a pleasure for Wolf Theiss to represent our long-standing client VIG which is committed to the Ukrainian market. We were delighted to closely work with the VIG international and Ukrainian teams during the transaction and successfully complete it.” 

    Wolf Theiss did not reply to an inquiry regarding the identity of the sellers, nor the firm that represented them.