News von den Mitgliedern

CMS has advised Ahold Delhaize (“Ahold Delhaize”) on the completion of its acquisition of leading Romanian grocery retailer Profi Rom Food S.R.L. (“Profi”) from MidEuropa, in a transaction worth approximately EUR 1.3bn. The deal was signed and announced in October 2023 and has recently received the approval of the Romanian Competition Council.

Ahold Delhaize is one of the world's largest food retail groups and a leader in both supermarkets and e-commerce. The group owns 16 local brands and over 7,700 local stores, serving over 63 million shoppers every week in Europe, the United States and Asia.

Managing Partner of CMS Romania and Head of CEE Corporate M&A Horea Popescu says, “We are delighted to have been at Ahold Delhaize’s side throughout this acquisition, and to assist the team to reach completion. Our role on this transaction underscores yet again the strength of our expertise in managing such complex projects. This landmark deal sends a strong signal that the Romanian food retail market continues to attract large investors.”

Senior Counsel of CMS Romania Claudia Nagy adds: “It’s been a privilege to work together with the teams within Ahold Delhaize and Mega Image to close this complex acquisition. Our unrivalled multidisciplinary know-how and expertise means that we were ideally placed to deliver comprehensive legal support and ensure that our client achieves their business objective.”

The multidisciplinary CMS team advising Ahold Delhaize was led by Horea Popescu and Claudia Nagy (Corporate and M&A) on Romanian law matters and Eva Talmacsi (Corporate and M&A, CMS UK) on English law matters, with invaluable support from partner Roxana Fratila (Real Estate), and counsel Raluca Ionescu (Corporate and M&A). The wider team included more than 10 other lawyers from the Romanian and UK offices.

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CMS 
Founded in 1999, CMS is an integrated, multi-jurisdictional organisation of law firms that offers full-service legal and tax advice. With 85 offices in 48 countries across the world and more than 6,300 lawyers, CMS has long-standing expertise both in advising in its local jurisdictions and across borders. From major multinationals and mid-caps to enterprising start-ups, CMS provides the technical rigour, strategic excellence and long-term partnership to keep each client ahead in its chosen markets.

The CMS member firms provide a wide range of expertise across 19 practice areas and sectors, including Corporate / M&A, Energy & Climate Change, Funds, Life Sciences & Healthcare, TMC, Tax, Banking & Finance, Commercial, Antitrust, Competition & Trade, Dispute Resolution, Employment & Pensions, Intellectual Property and Real Estate.

For more information, please visit cms.law

2025 marks a crucial stage for the European real estate market, which is undergoing a process of recovery and transformation. Favorable economic factors, such as stabilized inflation, reduced interest rates and increasing real incomes are strengthening this sector as a key pillar of the continental economy. Romania, as an integral part of the European market, is enjoying notable opportunities, but must address specific challenges to realize its potential.

Despite the Eurozone being projected to register modest growth of 1.3% in 2025, Romania is expected to surpass this level, thus remaining one of the fastest-growing economies in the region. These developments will stimulate both consumption and investments, providing a clear boost for the real estate sector.

Vlad Saftoiu, Head of Research Cushman & Wakefield Echinox: "While the outlook for 2025 is mostly optimistic, there are still a number of risks such as inflation, rising construction costs and geopolitical uncertainties. However, the transition towards sustainability, process digitization and the adjustment to new market demands offer significant opportunities for investors. The European and Romanian real estate markets are entering 2025 with a clear direction towards recovery and adjustment. The trends in question indicate a promising year for this sector, with substantial opportunities in the retail, industrial & logistics and office market segments. Success, however, depends on the ability of market players to quickly adapt to the new requirements and to capitalize on the innovation and sustainability potential."

Retail Market: A Path Towards Sustainable Growth

In Europe, the retail sector is well-positioned for sustainable growth in 2025, supported by improved consumer confidence and a better economic climate. In Romania, the development of modern shopping centers and the attraction of international brands can significantly stimulate this sector.

Retailers adopting flexible, consumer-centric strategies and focused on integrating brick & mortar stores and digital channels (omnichannel) are best placed for success. However, the global macroeconomic context and local dynamics will influence the pace of this evolution, requiring adaptability from market players.

As an emerging market, Romania can benefit from positive European trends, albeit with its own specificities. Shopping centers and retail parks will remain key investment attractions. Online retail will continue to influence the retailers' strategies, but physical locations will play a crucial role in brand consolidation.

In line with European trends, central locations and shopping centers in major cities will see increased demand, leading to higher rents. Stabilized inflation and the overall evolution of economic policies are critical factors influencing consumer behavior. Additionally, infrastructure and urbanization play significant roles in attracting international retailers.

Industrial & Logistics Market: A Strategic Opportunity for Romania

Against the backdrop of e-commerce expansion and of the present nearshoring trends, the European industrial & logistics market finds itself at a turning point. In 2025, moderate growth is expected, supported by the demand for modern and sustainable spaces.

Romania, with its strategic geographical location, has the potential to strengthen its role as a regional logistics hub. Developing transport infrastructure and creating spaces which comply with sustainability requirements are essential. Although rents in this sector will continue to rise, especially for premium spaces, success depends on the country's ability to attract investments and respond quickly to the changing needs of occupiers.

Moreover, the expansion of e-commerce and nearshoring processes contribute to a constant demand for quality logistics spaces in Romania.

Similar to European trends, rents for premium spaces in Romania will continue to rise, supported by solid demand and the limited supply of such spaces. Vacancy rates may vary between urban and peripheral areas and land accessibility for logistics developments remains a critical factor.

Office Market: Modernization as a Priority

The European office market is undergoing significant transformation, driven by demand for modern, energy-efficient and well-located spaces. In Romania, Class A buildings are the most sought-after, especially in major cities such as Bucharest, Cluj-Napoca and Timisoara.

Owners of older buildings are facing increased pressure to modernize their portfolios in order to remain competitive, in the context of European regulations on energy efficiency and sustainability. However, high construction costs and geopolitical uncertainties remain significant obstacles.

The Romanian office market presents several distinct characteristics which influence the 2025 forecasts. Thus, Bucharest and major cities continue to be attractive to tenants searching for well-located and energy-efficient spaces. Class A buildings will dominate demand and vacancy rates will remain lower in central areas.

In line with European trends, rents for premium spaces will grow moderately, although this pace will be influenced by the market's capacity to absorb new deliveries.

Owners of lower-class buildings will invest in modernization or transformation in order to remain competitive, especially in light of the European regulations on energy efficiency.

Cushman & Wakefield Echinox is a leading real estate company on the local market and the exclusive affiliate of Cushman & Wakefield in Romania, owned and operated independently, with a team of over 80 professionals and collaborators offering a full range of services to investors, developers, owners and tenants. For additional information, visit www.cwechinox.com.

Cushman & Wakefield (NYSE: CWK) is a leading global commercial real estate services firm for property owners and occupiers with approximately 52,000 employees in approximately 400 offices and 60 countries. In 2023, the firm reported revenue of $9.5 billion across its core services of property, facilities and project management, leasing, capital markets, and valuation and other services. For additional information, visit www.cushmanwakefield.com.

Cristina Lupașcu
Head of Marketing
+40 744 488 408
Cristina.lupascu@cwechinox.com

• 85,000 sqm of office space transactions closed in Bucharest and regional cities
• The largest transaction volume mediated in 2024
• Breakdown: 64% renewals, 36% relocation and expansions to class A buildings
• Largest transactions in the market: 
  • 30,000 sqm Genpact renewal in Hermes Business Campus in Bucharest
  • 10,000 sqm – the largest relocation of a technology company in Cluj-Napoca
• Estimated value of contracts of over € 95 mln.
• Value generated for the landlords of over € 200 mln.
• Balanced activity across Bucharest 75% and regional cities 25%

Griffes, the leading real estate advisory firm, reports an exceptional year in 2024, closing a record-breaking 85,000 sqm of office space. This volume represents the largest volume of transactions mediated in 2024, which confirms Griffes' position as a strategic partner for both tenants and landlords.

With a well-balanced distribution of transactions between Bucharest and regional cities, Griffes demonstrated its ability to address diverse market demands, from consolidations in the capital city to relocations and expansions in emerging business hubs like Cluj-Napoca, Iasi and Sibiu.

Griffes’ activity outside Bucharest accounted for 25% of its total transaction volume, with Cluj-Napoca leading the way. This city continued to attract investments, particularly from technology and IT companies looking to tap into its skilled talent pools and favorable business environments.

In Cluj-Napoca, Griffes facilitated the largest new office lease in the city over the past 5 years, a 10,000 sqm relocation for a leading technology company. This milestone transaction highlights the city’s growing reputation as a tech hub and reinforces its position as the country’s secondary business powerhouse. Griffes also supported the entry of Copeland into the market, securing premium office space for their operations within Iulius Group’s portfolio.

Bucharest continued to dominate as Romania’s primary business hub, accounting for approximately 75% of Griffes’ total transaction volume in 2024. One of the most notable transactions was Genpact’s renewal of 30,000 sqm at Hermes Business Park, marking the largest office leasing deal in Bucharest in the last decade. This transaction underscores the long-term confidence of global tenants in the capital’s strategic importance as a business destination.

Additionally, Griffes facilitated significant relocations and new entries into Bucharest’s premium office spaces, particularly in buildings with green certifications and various amenities. Projects such as J8 Office Park, stood out for their innovative technical specifications, energy efficiency, and flexible floorplates.

Griffes’ leasing activity reflected broader market trends in Romania, where tenants prioritized relocations to high-quality, sustainable office buildings. Approximately 36% of Griffes’ transactions involved such relocations, while 64% represented contract renewals, as businesses continued to adapt to evolving workplace needs.

The total value of contracts mediated by Griffes in 2024 exceeded € 95 million, with an average lease duration of 6 years. Griffes’ efforts created an estimated €200 million in value for landlords, ensuring long-term stability for tenants and income generation for landlords.

Our client portfolio in 2024 reflects a diverse mix of industries, with approximately 30% of clients coming from the technology and IT services sector, making it the most prominent category. Professional services companies, including consulting, research, and business process outsourcing, account for around 20% of our collaborations. The healthcare and wellness sector represents about 15%, driven by the growing demand for medical services, pharmaceuticals, and health-tech solutions. Retail and lifestyle businesses make up roughly 10%, highlighting the importance of consumer-facing industries. The automotive and logistics sectors constitute another 10%, showcasing the increase in mobility and supply chain efficiency. The remaining 15% of clients span a variety of fields, including finance, agribusiness, and FMCG.

"This year, we’ve embraced every challenge and opportunity to redefine what it means to create value for tenants and landlords. Our work has gone beyond transactions - it’s been about shaping spaces that align with the visions of our clients. Whether through a record-setting renewal in Bucharest or a landmark lease in Cluj-Napoca, we’ve shown that personalized solutions and a deep understanding of market dynamics make all the difference. Regional university centers are stepping confidently onto the stage as major business hubs, and we’re thrilled to be part of their evolution”, said Andreea Păun, Managing Partner at Griffes.

The average office lease transaction in Bucharest stands around 1,300 sqm, while in the regional cities it ranges between 1,800 sqm in Cluj-Napoca and 700 sqm in other regional cities. In terms of take-up, Bucharest witnessed around 350,000 sqm of office space leased in 2024, reflecting its position as the country's primary business hub. The activity in the office leasing market was evenly distributed throughout the entire year, with each quarter accounting for around 25%. In 2024, Romania’s office market remained highly dynamic, both in terms of available spaces and tenant activity, with companies increasingly focused on finding efficient and sustainable solutions for their offices as they prepare for the next business cycle. The transaction volume in Bucharest saw a slight decrease of 20% compared to last year, driven by steady but more selective demand for class A buildings with modern specifications and strategic locations. At the same time, regional cities continued to maintain a strong momentum, attracting significant interest from expanding businesses.

Griffes activity continued to focus on Landlord Representation, where the company is the detached market leader, with more than 130,000 sqm under exclusive mandates – starting from land acquisition, design consultancy, marketing and leasing strategy and sale. Other important pillars are Tenant Representation and Set-up services, advising tenants with their real estate strategy.

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About Griffes

Griffes is the largest Romanian independent, unaffiliated real estate consulting company, founded in 2016 by Andreea Păun, following 15 years of experience in real estate and property marketing. Griffes office portfolio spans 130,000 sqm and includes significant properties such as Unirii View building in downtown Bucharest, J8 Office Park in the north, the mixed-use project Record Park in the heart of Cluj-Napoca, Liberty Technology Park, a large-scale urban regeneration project in Cluj-Napoca, Paltim in Timisoara, the boutique office building MUSE Offices in Bucharest, and other projects in regional cities.

Occupiers assisted by Griffes include the IT and outsourcing company Wipro Technologies, in the consolidation and relocation of operations on a 17,000 sqm surface in Bucharest and Timisoara, office consolidation for renowned software companies such as Veeam Software, engineering and automotive companies, such as the opening of Nagarro, Arobs Engineering or MHP offices in Bucharest or Copeland’s new office opened in Cluj-Napoca.

Griffes also played a crucial role in facilitating the Genpact transaction, securing 30,000 sqm of office space in Hermes Business Campus – the largest market transaction in the last ten years. Visit us at: www.griffes.ro.

We are excited to share an important milestone in Hatwit’s journey: the launch of our new office in the heart of Europe, in Luxembourg City! This strategic expansion strengthens our commitment to delivering world-class Executive Search, Leadership Consulting, and Interim Management solutions to our global clientele. With this new chapter, we aim to foster collaborations, connect talent and create meaningful opportunities across borders, covering the Benelux and DACH regions. Hats off to new beginnings! Let’s connect, exchange ideas, and toast to shaping the future together.

About Hatwit’s Growth Journey
Over the past decade, backed by 20+ years of HR expertise, Hatwit has become a trusted partner for multinational corporations, international family businesses, and investment funds.

Our Key Milestones:
       •    CEE Stronghold: From our Bucharest, Romania office, we’ve built a trusted reputation and strong presence across Central and Eastern Europe.

• Strategic Partnerships: Collaborations with prestigious Chambers of Commerce, professional associations, and seamless cross-border HR solutions have fueled our growth.
• Strategic Expansion: In 2025, Luxembourg becomes our hub for Benelux and DACH, connecting us to Europe’s business core.

Our Expertise - Hatwit operates across 3 specialized business lines:
• Hatwit Executive: Senior Management, C-Level, and Top Management Executive Search and Interim Management.
• Hatwit Consulting: Leadership Consulting, including Talent Mapping, Leadership Assessments, Succession Planning, and Executive Career Management.
• Hatwit Talent: Recruitment and Leadership Consulting for mid-management and senior specialist roles.

With a focus on 6 industries—Banking & Investment Management, Industrial, Business Services, Technology, Consumer, Life Sciences & Healthcare.

Our senior team, with over 20 years of experience, combined with a large and diverse executive professional network, empowers us to support multinational corporations, international family-owned businesses, investment funds, and organizations expanding into new markets.

A heartfelt thank you to the Romania Luxembourg Business Forum (RomLux) and the Belgium–Luxembourg Romanian Moldovan Chamber of Commerce (BEROCC) for your full support. We are honoured to celebrate this new chapter with you.

Let’s grow, evolve, and build impactful careers and business successes together! 

POPESCU & ASSOCIATII announces new promotions within the law firm's leadership structure, starting January 1, 2025. Adina VLAICU, Andreea MIHALACHE, and Mirel RĂDESCU have joined the firm’s management team, following a decision that unequivocally emphasizes the performance standard and full commitment to POPESCU & ASOCIATII projects, marking a significant step in the firm's organic evolution.

Octavian POPESCU, Managing Partner of POPESCU & ASSOCIATII, stated: "We have constantly committed ourselves to support and capitalize on the team's performance, and these decisions come as a recognition of the significant contribution made over time by Adina, Andreea or Mirel in our projects. They are elite professionals, with notoriety and remarkable impact in their fields of expertise, and their presence in our coordination structure strengthens POPESCU & ASOCIATII's position as a reliable legal partner in the business environment in Romania and beyond. We are confident that their involvement will continue to define the success and excellence that we consistently promote."

Adina VLAICU – Prevention & Compliance

Adina Vlaicu is a key contributor to the team, recognized for her outstanding skills in prevention and compliance with legal standards and regulations, and has been involved in numerous projects on the implementation of anti-corruption and money laundering practices at the corporate level. With extensive experience in handling the legal aspects of corporate criminal liability, Adina provides effective and knowledgeable solutions for a wide range of domestic and international business actors. Her expertise includes assisting companies in assessing and addressing legal risks, through legal analysis and opinions, as well as by closing transactions with impact in the Romanian business environment.

Throughout her career, Adina has managed complex mandates, including anti-corruption investigations, as well as judicial proceedings deriving from and related to the economic-financial or administrative area. Among her clients are leaders in the banking, energy and retail industries, whom she has successfully represented before the authorities in numerous judicial proceedings. Her professionalism, combined with an in-depth knowledge of criminal law, recommends Adina as a reliable partner for clients facing major legal challenges.

At POPESCU & ASOCIATII, Adina Vlaicu is committed to providing innovative and tailored legal solutions, contributing to strengthening the firm's position as a leader in the field of prevention and compliance.

"This promotion is a defining moment in my professional career. I am grateful to the Popescu & Asociatii team for their trust and proud to contribute with all my ability to the success and excellence of our firm", said Adina Vlaicu.

Andreea MIHALACHE – Dispute Resolution and PPP

With almost 30 years of experience as a top-level litigator and legal advisor on public-private partnership projects, Andreea has successfully represented multinational companies from the energy, telecommunications, and financial sectors in numerous critical cases. She is recognized for her strategic approaches, thanks to her ability to develop customized solutions that have generated exceptional commercial results for the firm's clients.

In addition to her litigation expertise, Andreea provides strategic advice in risk management, dispute prevention and restructuring of distressed companies. She has managed notable projects including representing major entities in retrocession litigation, tax litigation and compliance investigations. Her extensive experience in coordinating cross-border cases enables her to provide a global perspective on complex legal challenges.

At POPESCU & ASOCIATII, Andreea Mihalache contributes to development through an integrated approach aimed at meeting the needs of clients from diverse industries. Dedicated to excellence, she reinforces the firm's reputation as a leader in providing innovative and effective legal solutions.

"I am honoured to be part of a team that supports excellence and professionalism. To add value to any project requires innovative solutions, and here at POPESCU & ASSOCIATII, I have always found the environment to achieve this,” said Andreea Mihalache.

Mirel RĂDESCU – Corporate Investigation & White-Collar Crime

Mirel Rădescu has a solid background in the field of economic-financial crime, accumulated in over 25 years of activity in leading institutions of the Romanian judicial system. Mirel Rădescu is a former Chief Prosecutor of the Directorate for the Investigation of Organized Crime and Terrorism and of the High Court of Cassation and Justice Prosecutor's Office. He has coordinated complex investigations on organized crime, money laundering and economic-financial crimes, being involved in some of the most high-profile cases in these fields. As Deputy Chief Prosecutor and later Head of Service, he implemented innovative legal strategies, contributing to the strengthening of institutional capacity in the fight against economic crime.

Throughout his career, Mirel has played a key role in training future legal professionals, serving as a trainer and expert at international seminars and conferences. His lectures have covered financial investigations, cross-border judicial cooperation and anti-corruption measures, contributing significantly to the development of Romania’s legal sector.

At POPESCU & ASSOCIATII, Mirel leverages his extensive expertise to achieve outstanding results for the firm’s clients. His professionalism, strategic approach, and in-depth legal knowledge establish him as a leading expert in his field.

"Joining the management structure of one of Romania’s most prominent law firms marks both a height and a new chapter in my career, but above all an additional motivation to confirm the trust, rigorously continuing to develop winning strategies for our clients", said Mirel Rădescu.

About POPESCU & ASSOCIATII

Established as a full-service law firm, POPESCU & ASOCIATII is one of Romania’s most respected law firms, delivering top integrated services to companies in various industries, both in local and cross-border transactions and cases, in all relevant practice areas and, in particular, in all industries of interest to active economic actors.

POPESCU & ASOCIATII and its lawyers are included in the elite of Romanian business law in areas such as Corporate/M&A, Litigation, Public-Private Partnerships and Public Procurement, Restructuring and Insolvency, Tax and Criminal Business Law, based on their outstanding capabilities in the legal sector and client accolades, recognized by the most recent editions of all the renowned legal directories such as Chambers & Partners, IFLR 1000, Benchmark Litigation and Legal 500 EMEA.

In 2024, POPESCU & ASOCIATII received, for the 2nd consecutive year, the title of Firm of the Year in Eastern Europe at the Women in Business Law Awards EMEA in London and the "Best in Business Law Women Empowerment" award at the Romanian Top Lawyers Gala.

In 2023, at the Top Lawyers Gala, the Litigation team received the special award "Excellence in Dispute Resolution". In 2022, POPESCU & ASOCIATII was named Law Firm of the Year in Romania at the Romanian Legal Awards. In the same year, the firm was designated, for the 2nd consecutive year, Highly Commended Law Firm in South Eastern Europe, at The Lawyer European Awards, with this achievement POPESCU & ASOCIATII being positioned among the most important names on the European legal market. The distinction continued the path initiated in 2021, when POPESCU & ASOCIATII was the first law firm in Romania, with less than 3 years of activity at that time, to obtain the above mentioned title.

The firm was also nominated by Europa Property, the leading publisher and organizer of online events in Central, Eastern and South-Eastern Europe in the commercial real estate field, for the Real Estate Law Firm of the Year in Romania at the 15th edition of the SEE Real Estate Awards, and by Benchmark Litigation Europe - the definitive guide to the world's leading litigation firms and lawyers - for the Litigation Law Firm of the Year in Romania.

The Best Real Estate Law firm in Romania, Best Litigation Law Firm in Romania, Best White-Collar Crime Romanian law firm, at the Legal Awards Gala, were obtained on the basis of the firm's outstanding experience and recognition in the Romanian market, as well as Best Banking and Finance Law Firm in Romania, and Best Real Estate Law Firm in Romania, by Legal Marketing's Legal Innovation Awards.

In addition, Octavian POPESCU, Managing Partner of POPESCU&ASOCIATII, received the highest recognition a Romanian lawyer can receive in his career - Lawyer of the Year in Romania - at the Benchmark Litigation Europe Awards 2020, and Loredana POPESCU, Partner, was awarded Equity Capital Markets Capital Markets Lawyer of the Year at the Women in Business Law Awards EMEA 2024. Also, Adrian CHIRVASE, Partner, received the White Collar Crime Lawyer of the Year award at the LMG Life Sciences Awards Gala EMEA 2024.

For further information, please contact:

Marketing Department, POPESCU & ASSOCIATES

Email: marketing@popescu-asociatii.ro

Contacts: Mirela Stana (+40 729 969 601), Irina Ioniță (+40 722 656 736).

Bucharest, January 21, 2025 - Generative AI (Gen AI) adoption has reached a key phase, with seven out of ten respondents (67%) that participated to the latest edition of Deloitte’s study “The State of Generative AI in the Enterprise: Now decides next” reporting their organizations are increasing investment in this technology due to its strong value. Improvement in efficiency and productivity is the most common benefit achieved through Gen AI initiatives (34%), followed by increased innovation (12%), improved products and services (10%), reduced costs (9%) and enhanced customer relationships (9%).

In terms of challenges, the study reveals that three of the top four reported barriers to a successful Gen AI deployment are risk-related, including worries about regulatory compliance (36%), difficulty managing risks (30%) and lack of a governance model (29%). Likely driving these concerns are risks specific to Gen AI, like model bias, hallucinations, privacy concerns, trust and protecting new attack surfaces. To help build trust and ensure responsible use, organizations are taking actions including establishing a governance framework for using Gen AI tools and applications (51%), monitoring regulatory requirements and ensuring compliance (49%) and conducting internal audits/testing on Gen AI tools and applications (43%).

“As promising experimentation has driven more investment and a diverse range of benefits becomes more apparent, expectations have surged and the C-suite is now looking for significant and sustained value from GenAI projects. To avoid a decline in current enthusiasm and support, initiatives should be prioritized as a function of scalability and specific return on investment. Challenges will need to be addressed across the board: people, process, data and technology, with an emphasis on change management and organizational transformation,” said Alexandru Reff, Country Managing Partner, Deloitte Romania and Moldova.

Looking ahead, a comprehensive set of financial and nonfinancial measures will be needed to present a complete picture of the value created from investments in Generative AI initiatives, the study indicates.

When it comes to organizations’ readiness across the Gen AI essential scaling elements, technology infrastructure (45%) and data management (41%) were the best placed, followed by strategy (37%), risk and governance (23%), and talent (20%). In order to improve their levels of preparedness, organizations are generally working to establish new guardrails, educate their workforces, conduct assessments and build oversight capabilities.

“The different possible sources of value highlighted by the study show the potential and versatility that Gen AI can bring. Tech leaders should consider pursuing other potential benefits that this technology can offer, including increased innovation, improved products and services, enhanced customer relationships, and revenue growth, as many organizations are already seeing tangible value from Gen AI in these other areas, the study shows. As companies look to unlock the true value of Gen AI, an improvement in data gathering and management - security, privacy, extraction or labeling - is important,” said Andrei Ionescu, Consulting Market Leader, Deloitte Romania.

In fact, the study shows that data-related issues have caused 55% of the organizations to avoid certain Generative AI use cases. In order to improve their data-related capabilities, organizations are enhancing security (54%) and improving quality (48%).

According to the study, many Gen AI efforts are still at the pilot or proof-of concept stage, with a large majority of respondents (68%) saying their organization has moved 30% or fewer of their Gen AI experiments fully into production. Amid continued experimentation, there is a growing need to demonstrate the value of Gen AI initiatives, as 41% have struggled to define and measure the exact impacts of their Gen AI efforts and only 16% have produced regular reports for the Chief Financial Officer about the value being created with Gen AI.

The latest edition of Deloitte’s report “The State of Generative AI in the Enterprise: Now decides next” was conducted on more than 2,800 AI-savvy business and technology leaders directly involved in piloting or implementing Gen AI at major organizations across 16 countries and six industries, in order to track the integration of Gen AI in the enterprise.

Deloitte provides industry-leading audit and assurance, tax and legal, consulting, financial advisory, and risk advisory services to nearly 90% of the Fortune Global 500® and thousands of private companies. The firm’s professionals deliver measurable and lasting results that help reinforce public trust in capital markets, enable clients to transform and thrive, and lead the way toward a stronger economy, a more equitable society and a sustainable world. Building on its 175-plus year history, Deloitte spans more than 150 countries and territories. Its objective is to make an impact that matters through its approximately 460,000 people worldwide.

Deloitte Romania is one of the leading professional services organizations in the country providing, in cooperation with Reff & Associates | Deloitte Legal, services in audit, tax, legal, consulting, financial advisory, risk advisory, business processes as well as technology services and other related services, through 3,200 professionals.

Please see www.deloitte.com/ro/about to learn more about the global network of member firms.

The lawyer’s team from STOICA & ASOCIAȚII - Dragoș Bogdan (Managing Partner) and  Mihai Stănescu (Managing Associate) -, acting for a major global manufacturer of innovative medicines, won in a series of litigations the provisional ban on the sale of competing products by other major pharmaceutical companies, which violated the exclusive rights conferred by a patent.

The litigations concerned a very important medicine, having annual sales of over 4.5 billion euros. In the context of the termination of protection over the active substance of the drug in question, several generic drug companies tried to enter the Romanian market, ignoring the existence of a second-generation patent - which protected other characteristics of the drug than the active substance.

 Dragoș Bogdan: ”Our mission was particularly complex, involving overcoming two types of obstacles to convince the courts to issue the presidential injunctions: firstly, demonstrating the existing rights in the context of an extensive case-law at the European and even at the global level regarding the validity of the patent; secondly, demonstrating the infringement of the patent by generic medicines, despite some highly technical features in the patent claims and the limited evidentiary possibilities determined by the procedural framework.”

The success achieved by the STOICA & ASOCIAȚII’s team ensures that the manufacturer of the innovative medicine respects the monopoly resulting from the patent, an essential aspect in the pharmaceutical field, practically the only way to cover the high research and development expenses involved in discovering and launching a new medicine on the market.

Founded in 1995, STOICA & ASOCIAȚII has gained national and international recognition in the world of law and the business environment, through its entire activity of legal assistance and representation of a vast portfolio of clients. Currently, the lawyers from STOICA & ASOCIAȚII have proven that they are a strong team, based on the observance of its principles: Fidelitas, Integritas, Fortitudo. STOICA & ASOCIAȚII has acquired an excellent national and international reputation. Its professional achievements are recognized in the most important international legal guides: Chambers Europe, Legal 500, WTR 1000, IAM Patent 1000.

CMS is delighted to announce that it was named CEE M&A Legal Adviser of the Year 2024 at the Mergermarket European M&A Awards 2024 in a ceremony held in London on the 27th of November.

The Mergermarket European M&A awards celebrate excellence in the mergers and acquisitions landscape and recognise standout advisory achievements on complex deals.

Major deals include 4.3billion euro acquisition of Budapest Airport by Vinci and Corvinus and 1.3billion euro acquisition of Profi by Ahold Delhaize in Romania.

Horea Popescu, Managing Partner of the CMS Bucharest office and Head of Corporate CEE, comments: “This recognition reflects the outstanding deals we’ve delivered, the trust of our exceptional clients, and our unwavering commitment to the CEE region for over 30 years. Thank you to our clients and team for making this achievement possible!”

This is the latest in a series of prestigious awards for the firm in CEE, after it was named CEE Law Firm of the Year at the Chambers Europe Awards and won four Deal of the Year Awards at CEE Legal Matters.

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About CMS 
Founded in 1999, CMS is an integrated, multi-jurisdictional organisation of law firms that offers full-service legal and tax advice. With 85 offices in 48 countries across the world and more than 6,300 lawyers, CMS has long-standing expertise both in advising in its local jurisdictions and across borders. From major multinationals and mid-caps to enterprising start-ups, CMS provides the technical rigour, strategic excellence and long-term partnership to keep each client ahead in its chosen markets.

The CMS member firms provide a wide range of expertise across 19 practice areas and sectors, including Corporate / M&A, Energy & Climate Change, Funds, Life Sciences & Healthcare, TMC, Tax, Banking & Finance, Commercial, Antitrust, Competition & Trade, Dispute Resolution, Employment & Pensions, Intellectual Property and Real Estate.

For more information, please visit cms.law

Sauter Turning Process SRL, ist Teil der Sauter GmbH-Gruppe und ein renommierter Name in der mechanischen Präzisionsbearbeitung.

Von einem kleinen Familienbetrieb hat sich die Sauter-Gruppe, mit seiner über 80-jährigen Erfahrung der Sauter GmbH, zu einer europäischen Hausnummer in der Herstellung hochwertiger Metallkomponenten für Branchen wie Automobil, Maschinenbau, Elektrotechnik und weiteren entwickelt.

Die Sauter-Gruppe umfasst 2 Produktionsstandorte. Neben dem Werk in Aldingen/Süddeutschland gehört auch das 2015 gegründete rumänische Werk in Dej zu der Sauter-Familie.

Das Werk in Rumänien feiert im Jahr 2025 sein 10-jähriges Jubiläum und zählt heute, mit 130 motivierten Mitarbeitern, zu einem wichtigen Standbein in der Sauter-Gruppe sowie auch in der Zulieferindustrie der oben genannten Branchen.

Auf Grund seiner technischen Kompetenz und betrieblichen Effizienz spielt Sauter Turning Process SRL eine zentrale Rolle in der europäischen Lieferkette.

Die erhaltenen Auszeichnungen durch „Topul Firmelor Active“ sind mitunter Beleg für das erfolgreiche Handeln der jungen Firma in Rumänien.

With an average age of approximately 11 years, the Bucharest office stock ranks among the youngest across Europe and the CEE region. This provides a significant advantage for landlords in attracting and retaining tenants, as the city’s office spaces are less likely to face obsolescence in terms of technology, construction quality and sustainability standards over the next 5 - 6 years, according to data from the Cushman & Wakefield Echinox real estate consultancy company.

In total, over 170 million sq. m of office spaces are at risk of becoming obsolete in 2030 across 16 European markets, according to the Rethinking European Offices report, produced by Cushman & Wakefield.

This is equivalent to more than 6 times the total office stock in Central London. In volume terms, the majority of this ‘at risk’ stock is in Western European markets.

Close to 80% of stock is at risk of obsolescence in that particular region in markets such as Amsterdam, Barcelona, London, Madrid, Milan, Paris and Stockholm.

In contrast, the CEE markets - Bucharest, Budapest, Prague and Warsaw - have lower risks of obsolescence (averaging just 43%), thus reflecting that much of the built stock has been delivered over the last couple of decades. Since 2004, the office stock in Eastern European markets has more than doubled, while in Western Europe most markets have seen the stock grow by less than 20%.

Compared with the regional average, Bucharest’s office stock is even younger, with nearly half of the existing 3.41 million sq. m of office spaces being built during the last decade. This reduces the city’s equivalent obsolescence risk to just 35%, the lowest among the analyzed markets.

Madalina Cojocaru, Partner Office Agency at Cushman & Wakefield Echinox: “Occupiers are today focused on securing the best-in-class, grade A office spaces in central or semi-central areas, with access to a wide range of amenities and which meet the latest environmental and sustainability standards. This is important in terms of attracting employees and creating the best working environment. Across Europe, grade A leasing accounts for around 50% of the total take-up, up from 40% before the pandemic and from around 33% over a decade ago. In Bucharest, 83% of the YTD transaction volume occurred in grade A buildings, which account for 79% of the total stock in the city.”

The Bucharest office market has shown clear signs of stability during the first 9 months of the year, with the leasing activity reaching a total of 261,700 sq. m. While this represents a 25% decrease compared with the same period last year, the volume remains at a satisfactory level, reflecting resilience in tenant demand despite the existing market challenges.

This decrease was expected in a context where not a single building was delivered throughout 2024 and also when considering that 2023 was a record year for the Bucharest office market in terms of total take-up.

Across Western markets, the risk is not uniform. Munich (60%), Lisbon (64%), Dublin (64%) and Berlin (65%) are better positioned compared with other markets tracked, as an important part of the stock has been developed over the past two decades. In London, the analysis suggests that 76% of the existing offices may become obsolete by the turn of the decade. With regulations already in place, it should accelerate the pace of change, especially in an improving economic landscape.

Moreover, many landlords are actively upgrading or redeveloping buildings in order to meet these needs and the growing demands from occupiers. On the other hand, although higher rents are at odds with corporate cost control, the central locations of those buildings and the amenities they provide are critical factors for success which should translate in high levels of both talent attraction and retention.

In this context, we anticipate a growing divide between best-in-class, centrally located assets and those in peripheral locations, where the vacancy risk is often greater. Landlords need to understand their spaces and whether repositioning or repurposing is the best strategic approach.

Cushman & Wakefield Echinox is a leading real estate company on the local market and the exclusive affiliate of Cushman & Wakefield in Romania, owned and operated independently, with a team of over 80 professionals and collaborators offering a full range of services to investors, developers, owners and tenants. For additional information, visit www.cwechinox.com.

Cushman & Wakefield (NYSE: CWK) is a leading global commercial real estate services firm for property owners and occupiers with approximately 52,000 employees in approximately 400 offices and 60 countries. In 2023, the firm reported revenue of $9.5 billion across its core services of property, facilities and project management, leasing, capital markets, and valuation and other services. For additional information, visit www.cushmanwakefield.com.

Technological developments in recent decades, including artificial intelligence, and changing business models have called for an adaptation of legislation on general product safety and liability for defective products. More about the objectives and innovations brought by EU Regulation no. 988/2023 on general product safety, in a recent article written by Daniel - Alexandru Aragea – Partner, STOICA & ASOCIAȚII.

Bucharest, 10 December 2024 – Banca Comercială Română (BCR), one of the most important financial groups in Romania, has provided a EUR 29.5 million credit facility to UNIRII VIEW S.R.L., with legal guidance from Wolf Theiss. This loan will be used by the developer to refinance an existing loan for the Unirii View building, located in the heart of Bucharest.

The transaction was handled by the Wolf Theiss Banking & Finance team in Romania, led by Partner Claudia Chiper. The team included Senior Associates Alexandru Asaftei, Iuliana Stoicescu and Smaranda Văcaru, alongside Associates Cătălin Sabău and Ana Florea. On the real estate aspects, Partner Roxana Roman and Counsel Dana Toma from the Wolf Theiss Real Estate team provided advice to the lender.

"We greatly appreciate the ongoing trust that our long-term client BCR, one of the leading banks in Romania, has placed in us by awarding another significant real estate loan. This transaction highlights our dedication to facilitating financing deals and strengthening the framework for such loans in Romania." – Partner Claudia Chiper.

About Wolf Theiss

Founded in 1957, Wolf Theiss is one of the leading law firms in Central, Eastern and South-Eastern Europe (CEE/SEE). We have built our reputation on unrivalled local knowledge which is supported by strong international capabilities. With 390 lawyers in 13 countries, over 80% of the firm's work involves cross-border representation of international clients.

Albania, Austria, Bosnia and Herzegovina, Bulgaria, Croatia, Czech Republic, Hungary, Poland, Romania, Serbia, Slovakia, Slovenia and Ukraine, Wolf Theiss represents local and international industrial, trade and service companies, as well as banks and insurance companies. Combining law and business, Wolf Theiss develops comprehensive and constructive solutions on the basis of legal, fiscal and business know-how.

About BCR

Banca Comercială Română (BCR), a member of Erste Group, is one of the most significant financial groups in Romania, including universal banking operations (retail, corporate & investment banking, treasury, and capital markets), as well as specialized companies in the leasing and private pension markets.

BCR offers a full range of financial products and services through a network of 20 business centers, 18 mobile offices dedicated to companies, and 317 retail units located in most of the country’s cities with more than 10,000 residents, where 71% of our units are cashless. BCR customers have the largest national network of ATMs and multifunctional machines— almost 2,000 machines, and full banking services through Internet banking, Mobile banking, Phone banking, and E-commerce. For more information about BCR's products and services, visit www.bcr.ro.

Holiday spending will increase by 8% this year, compared to 2023, as 70% of consumers anticipate higher prices, but also because they are rather cautious in terms of expectations regarding next year’s economy improvement (only 43% are optimistic), according to the Deloitte 2024 Holiday Retail Survey. Amid higher prices expectations, buyers remain wary, and many intend to cut back on gifts for themselves (the share of those who plan such expenses decreased by 16 percentage points this year, to 32%) or to switch to lower-priced brands (62%), more affordable retailers (48%) or to private labels (40%). In addition, more people plan to shop during promotional events (75% versus 61% in 2023).

However, the participants in the study choose retailers based on product quality (39%), price level (37%) and variety of products (35%). At the same time, consumers are prioritizing experiences (up 16 percentage points compared to 2023), like events, holiday activities and socializing with loved ones (including hosting parties at home - 25%), while gift spending is expected to decrease slightly (by 3 percentage points compared to the previous year), and decorations continue to gain in importance (up 9% compared to the previous year).

In terms of gifts, clothing and accessories lead buyers' preferences (although the allocated amount is down 10 percentage points), while gift cards decline (minus 12 percentage points compared to previous year), and four out of ten intend to offer experiential gifts.

"Increasing prices also worry Romanian consumers, as annual inflation remains high in our country, around 5%, compared to the European Union average of 2.3%, according to the latest Eurostat data. And official forecasts indicate that inflation will remain above the National Bank of Romania target for a longer period. Buyers' caution has a negative impact on consumption, a sector with a significant contribution to the economic growth in Romania. Under these conditions, in which consumers value lower prices over brand loyalty, retailers need to consider shoring up loyalty programs to attract and retain customers in their portfolio, but also to invest in omnichannel experiences (integrating multiple interaction channels, physical and virtual), so that customers benefit from great deals and convenience while shopping," said Raluca Baldea, Tax Partner, Deloitte Romania, and the leader of the retail and consumer goods industry.

More than 70% of consumers prefer online retailers because it helps them save time (74%) and money (60%), get product variety (68%) and availability (64%). On the other hand, in-store retailers (preferred by 55% of respondents), are appreciated for the opportunity to check product quality (63%), responsive customer service (62%) and enjoyment (52%).

Retail executives expect sales to increase this holiday season (80% of them), aided by anticipated traffic growth in both in-store and online channels. On the other hand, 76% of executives believe most consumers will value lower prices over brand loyalty.

The Deloitte 2024 Holiday Retail Survey was conducted among over 4,100 US consumers and 45 executives from retail companies, among which more than 90% have annual revenues of more than one billion dollars.

Deloitte provides industry-leading audit and assurance, tax and legal, consulting, financial advisory, and risk advisory services to nearly 90% of the Fortune Global 500® and thousands of private companies. The firm’s professionals deliver measurable and lasting results that help reinforce public trust in capital markets, enable clients to transform and thrive, and lead the way toward a stronger economy, a more equitable society and a sustainable world. Building on its 175-plus year history, Deloitte spans more than 150 countries and territories. Its objective is to make an impact that matters through its approximately 460,000 people worldwide.

Deloitte Romania is one of the leading professional services organizations in the country providing, in cooperation with Reff & Associates | Deloitte Legal, services in audit, tax, legal, consulting, financial advisory, risk advisory, business processes as well as technology services and other related services, through 3,200 professionals.

Please see www.deloitte.com/ro/about to learn more about the global network of member firms.

© 2024. For information, contact Deloitte Romania

• Global mobility functions are increasingly seen as strategic partners, with 89 percent anticipating their program will remain or become more strategic in the next 12-18 months.
• Seventy-two percent of respondents prioritize aligning mobility strategies with broader business objectives.
• Seventy percent consider talent development, attraction and retention a top priority
• Sixty-seven percent of organizations that support international remote work have a formal policy in place.
• Fifty-one percent are looking to leverage AI in the short- and long-term, with 73 percent planning future AI investments to help with automation of administrative tasks.
• Seventy-six percent use technology for managing international assignments.

KPMG’s 2024 Global Mobility Benchmarking Survey: “Charting the future – strategic mobility for tomorrow’s workforce” points to the challenging commercial and geopolitical landscape as a key driver prompting global organizations to reassess their strategies. In response to new legislation and regulatory changes creating fundamental shifts in the compliance landscape, new business needs and additional demands are now placed on global mobility teams who play an integral role at the intersection of these diverse challenges.

The global survey collates the views of 225 global mobility professionals across multinational organizations spanning 29 countries and territories and 12 industries and provides valuable data on the evolution of global mobility programs with the expectations on their teams extending to include tax and immigration policies, structure, governance, priorities, performance measures, technology, robotics, automation, international remote working and more. The report outlines key actions that global mobility programs should employ to unlock their full potential and seize the emerging opportunities presented by new business demands with teams encouraged to be adaptable.

“Global mobility teams typically enhance compliance and manage risk under intense scrutiny,” said Marc Burrows, Global Head of Global Mobility Services, KPMG International. “However, the current landscape demands even more, often with less resources than were previously available. That requires innovative solutions, necessitating strategic alignment with business objectives and a fundamental adaptivity to thrive.”

Increasingly viewed as a strategic partner and trusted advisor, the report shares how almost three-quarters of respondents view alignment with the overarching business strategy as a top priority. In addition, the recent KPMG 2024 CEO Outlook shared that 92 percent of CEOs are planning to increase their workforce and 80 percent emphasizing skills development, hence alignment with talent strategies is considered crucial for global mobility with 70 percent of respondents listing talent development, attraction and retention as a top priority.

With the shift toward cross-border moves gaining momentum, the complexities of a globalized workforce are ever-present. The report reveals that 67 percent of organizations that support international remote work have a formal policy in place — a proactive approach that helps structure and formalize remote work capabilities, helping ensure compliance with tax and immigration laws.

The number of global mobility functions leaning into technology to drive operational efficiency continues to rise, with assignment management solutions widely used. Nearly two-thirds of organizations rely on a centralized or regional model for global mobility management, as these models are considered to help enhance consistency, control and responsiveness to regional dynamics and needs.

Seventy-six percent of respondents report using workflow and data management tools, and AI adoption is expected to rise, with 51 percent planning to integrate AI into their programs and long-term 73 percent planning future AI investments to help with the automation of administrative tasks.

The report encourages global mobility teams to compare the strategies employed with those of their global competitors to assess the real value of current operations and develop new future-focused initiatives, programs and policies.

“To stay ahead, organizations should regularly monitor and review mobility policies to help ensure they remain effective, competitive and aligned with business needs,” said Katherine Avery, Principal, KPMG in the US. “Collaboration and comparison are essential. Collaborate with suppliers – understand the challenges and learn from competitors to help ensure your team is suitably equipped to meet the ever-changing demands of the future.”

As Mădălina Racovițan, Partner and Head of People Services at KPMG in Romania comments: “In the last few years, employees have increasingly expected to be able to work remotely, at least for part of the time, including sometimes from another country. Employers too have seen many benefits in a more mobile workforce, both from the point of view of flexibility and also to widen the talent pool for recruitment. Nevertheless, international remote working can have significant tax, social security and immigration implications, not only for the employees concerned but also for their companies. Consequently, an expert assessment by qualified professionals is essential so that businesses can develop a strategy to take full advantage of the opportunities presented by international remote working, while also remaining compliant with tax and other legal requirements.”

About KPMG

KPMG is a global organization of independent professional services firms that provide audit, tax and advisory services. We operate in 143 countries and had nearly 273,000 employees in member firms around the world at the end of the financial year 2022. Each KPMG firm is legally a separate and distinct entity and is described as such. KPMG International Limited is a private English company limited by guarantee. KPMG International Limited and its entities do not provide customer services.

In Romania and the Republic of Moldova, KPMG operates in six offices in Bucharest, Cluj-Napoca, Constanța, Iași, Timișoara and Chișinău. We currently have more than 1,000 professionals, both Romanians and expatriates.

Global law firm Dentons has advised Kommunalkredit Austria AG on a €28 million financing to Econergy UK for its Iancu Jianu solar project in Romania.

The project currently under construction in Olt county has an installed capacity of approximately 58 MW, and is expected to become operational during 2025.

Kommunalkredit Austria AG is a leading financial institution specializing in infrastructure and renewable energy projects and is recognized for its commitment to facilitating sustainable investments and supporting the transition to a low-carbon economy.

Banking and Finance partner Simona Marin led the legal team, assisted by counsel Maria Tomescu, senior associate Lawrence Florescu, associates Alin Serea and Carmen Banica (all Banking and Finance), partner Claudiu Munteanu-Jipescu, counsel Elena Vlasceanu and senior associate Angelica Pintilie (all Energy), partner Bogdan Papandopol, senior associate Isabela Gheorghe, associates Diana Ceparu and Geanina Anghel (all Real Estate).

Simona Marin commented: "We are happy to continue our longstanding partnership with Kommunalkredit by supporting another financing in Romania, a landmark project for the Romanian renewables industry and the overall economy."
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ENDS
About Dentons
Across over 80 countries, Dentons helps you grow, protect, operate and finance your organization by providing uniquely global and deeply local legal solutions. Polycentric, purpose-driven and committed to inclusion, diversity, equity and sustainability, we focus on what matters most to you. www.dentons.com

For further information, please contact:
Cristina Cazan 
Head of Marketing & Business Development, Dentons Romania
cristina.cazan@dentons.com
 

Investors are optimistic when it comes to their Romanian portfolios over the next 12 months, a clear improvement compared with the previous year. According to the 3^rd edition of the Cushman & Wakefield Echinox “Real Estate Investors Sentiment Barometer” conducted among the main real estate investors and developers in Romania, 64% of respondents forecast an increase in portfolio values, 30% expect stagnation, while only 6% anticipate a decline.

Cushman & Wakefield Echinox surveyed the top management of local, regional and global investors and developers, with a combined Romanian real estate portfolio valued at more than €15 billion, thus having a share of approximately 50% of the local modern real estate market.

Bucharest and the secondary markets consolidated their positions as the preferred investment destinations. Almost 80% (compared with 66% in 2023 and 63% in 2022) of respondents indicate Bucharest as their main location for new investments, while 31% (24% in 2023 and 20% in 2022) are actively targeting tertiary locations (cities with less than 200,000 inhabitants). Secondary cities are also a very attractive investment destination for more than 65% of respondents.

This development underlines how the investment portfolios have been diversified across the country and the increased interest in emerging markets outside Bucharest. The attractiveness of these areas is supported by growth opportunities, lower costs and positive market dynamics.

Vlad Saftoiu, Head of Research Cushman & Wakefield Echinox: ”Investors are optimistic, while also showing a certain degree of caution in regards to the Romanian real estate market evolution. They are predicting a consolidation of the industrial & logistics and retail segments, a stabilization of office demand and selective portfolio growth. The overall real estate market performance illustrates a balance between opportunities and macroeconomic challenges, in a context of increased confidence towards economic stability and consumption growth, supported by the accessibility of bank financing, the focus on sustainability and the adoption of ESG requirements.”

A majority of respondents predict an upward movement of office rents. While there were a series of concerns about potential decreases in 2023, the sentiment shifted back to optimism in 2024, suggesting a belief in a long-term upward movement of office rents. However, the 2024 growth predictions were slightly tempered for industrial & logistics assets, with an increased share of respondents forecasting stability rather than continuous growth.

The results indicate a positive, but cautious outlook for retail rental rates. While many expect increases, a consistent number of investors anticipate stability, the outlook improving each year, with fewer respondents predicting declines. This trend suggests growing confidence in the retail market, possibly fueled by the recovery of demand and by the impressive retail sales growth.

Inflation remains the primary factor which could influence occupancy costs in the real estate market. Construction and financing costs are also highlighted as major risks for rents across all segments.

In terms of demand, investors and real estate developers forecast a stable level for offices, with the sector moving towards consolidation, as companies are adapting to current work models rather than pursuing aggressive expansion. However, investors are more optimistic concerning the demand for retail spaces compared with previous surveys, even though there is no clear anticipation for significant changes.

Respondents are optimistic about the logistics sector and, to a lesser extent, retail when it comes to the asset classes expected to see more investments in the coming 12 months. The sentiment towards office spaces remains cautious, while also showing slight improvement compared with the previous editions of the barometer.

In this context, a clear majority of investors intend to expand their portfolios over the next three years, while 21% plan to maintain their current activity level and only 9% foresee downsizing. The primary source of financing is represented by banks, with 49% of respondents highlighting the accessibility of credit conditions. Another important financing source is represented by shareholder loans (19%).

The main negative factors concerning the real estate market are related to inflation and interest rates, while geopolitics and financial stability were also highlighted as significant risks. However, the investors’ perceptions of macroeconomic stability, taxation and labor market have improved compared with previous years.

Sustainability is becoming a key element in investment decisions, which is perceived as a way to ensure long-term success. Investors are clearly focusing on certifying their buildings and on getting up-to-date with the EU ESG Taxonomy reporting requirements.

The optimal management of operating costs is the primary challenge for 39% of respondents, while 24% identify the complexity of legislative regulations as a major issue for the management of their real estate portfolios. Factors expected to significantly influence property management include tenant experience and behavior, as well as the adoption of innovative and data-driven solutions.

Cushman & Wakefield Echinox is a leading real estate company on the local market and the exclusive affiliate of Cushman & Wakefield in Romania, owned and operated independently, with a team of over 80 professionals and collaborators offering a full range of services to investors, developers, owners and tenants. For additional information, visit www.cwechinox.com.

Cushman & Wakefield (NYSE: CWK) is a leading global commercial real estate services firm for property owners and occupiers with approximately 52,000 employees in approximately 400 offices and 60 countries. In 2023, the firm reported revenue of $9.5 billion across its core services of property, facilities and project management, leasing, capital markets, and valuation and other services. For additional information, visit www.cushmanwakefield.com.

• By 2030, Gen Z will be a key driver of the AI future, comprising 30% of global workforce
• Most of Gen Z uses AI but scores low in critical evaluation and assessment of AI
• Social media dominates as primary Gen Z AI information source

Businesses and academia risk assuming that Gen Z students and employees are “AI natives” and must be mindful of Gen Z over-confidence in relation to artificial intelligence (AI) literacy. That is according to a new EY report developed with support from Microsoft and TeachAI, How can we upskill Gen Z as fast as we train AI?, which uses quiz-style questions to provide insight into the AI aptitude of more than 5,000 Gen Z respondents across 16 countries. The report also reveals that while Gen Z understands which products and tasks benefit from AI, their ability to critically assess the technology falls short.

In terms of AI adoption, the survey finds that the majority of Gen Z are using AI (61% are “varied” users, verses 15% “super” users and 24% “stragglers”[1]). When it comes to aptitude, Gen Z respondents score best on questions about understanding how AI works, such as selecting which tasks and products commonly use AI (69% out of 100). But they are less confident in relation to questions that cover how to write the best prompts for AI (56% out of 100), and they score most poorly on critically assessing and identifying shortfalls, such as whether AI systems can invent facts (44% out of 100). 

More reassuringly, scores show that respondents recognize the importance of hard and soft skills required for AI, ranking creativity and curiosity as the most important skills needed to use AI well (52%), followed by critical thinking (47%) and then coding / computer programming (46%). This lays the foundation for Gen Z’s perception of AI’s benefits and risks. Respondents view the greatest benefits of AI to be time saving on repetitive tasks, analyzing large amounts of data and reducing human error, and they view the greatest risks as increasing unemployment, reducing human learning and creativity, and generating false information.

While many Gen Z use AI as a tool to help them learn, there is a disconnect between how AI is perceived in workforce and education settings. Forty-two percent of respondents believe their educators would discourage AI use to complete certain tasks, with just 15% saying the same of their employer. This could be linked to how technology can sometimes be seen as enabling plagiarism in schools, leaving educators to balance the need to prepare students for the workforce with ensuring they’re not overly reliant on new technology.

The results indicate that educators and businesses are playing catch-up to the rapidly evolving technology of AI. But they also chart a path forward to identify ways for businesses to help close that literacy gap in AI education and engagement among a Gen Z group who lean toward an optimistic view of AI but may be over-confident in their ability to evaluate the technology for optimal use.

Reflecting the wider scale of transformation that business and society face in not only harnessing the power of AI but also addressing its implications for people and the planet, the report shows that organizations need to prepare Gen Z with the right skills to understand, use and evaluate AI to innovate and evolve responsibly. The report shares key recommendation for employers and educators to achieve this, including:

• Mobilizing trustworthy information about AI on social media: The report found that 55% of Gen Z respondents ranked social media as their most prevalent source for AI information. Organizations and educators can leverage Gen Z’s attention to social media for good, by creating and amplifying trusted, vetted content about AI, on the platforms this generation is already invested in and spending their time on.
• Strengthening AI education to build better literacy through public and private collaboration: The report finds that Gen Z is somewhat satisfied with the guidance and preparation for AI from their employer or educational institution, with the first choice for desired types of support being courses or training from AI providers (37%) and resources that support self-guided learning about what AI is and how it works (35%) and how to use it (34%).

Horațiu Cocheci, Director, People Advisory Services, EY Romania: ”Looking at this context through a local lens, the data from the local study conducted this year by us - EY Upskilling Survey Romania - reveals that 81% of respondents believe that state bodies and the government should actively support and fund national upskilling initiatives, while 72% of respondents consider that this responsibility primarily belongs to companies. Furthermore, 85% suggest that the government should provide subsidies or tax incentives to companies that invest in reskilling programs, thus encouraging more companies to enhance the professional development and adaptability of their employees. Considering the particular context of our country in the last month, it becomes evident that such initiatives would automatically qualify as high-impact national projects."

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About EY Romania

EY is one of the world's leading professional services firms with 392,995 employees in more than 700 offices across 150 countries, and revenues of approx. US$51.2b in the financial year that ended on 30 June 2024. Our network is the most integrated worldwide, and its resources help us provide our clients with services allowing them to take advantage of opportunities anywhere in the world.

With a presence in Romania ever since 1992, EY provides, through its more than 1000 employees in Romania and the Republic of Moldova, integrated services in assurance, tax, strategy and transactions, and consulting to clients ranging from multinationals to local companies.

Our offices are based in Bucharest, Cluj-Napoca, Timisoara, Iasi and Chisinau. In 2014, EY Romania joined the only global competition dedicated to entrepreneurship, EY Entrepreneur Of The Year. The winner of the national award represents Romania at the world final taking place every year in June, at Monte Carlo. The title of World Entrepreneur Of The Year is awarded in the world final. For more information, please visit: www.ey.com

About the report

Methodology

The survey used quiz-style questions to provide a truer test of Gen Z’s literacy in various aspects of AI. It includes a combined sample size of more than 5,000 global Gen Z respondents, across 16 countries.

Definition Key

Gen Z: Generation Z (Gen Z) is generally defined as: (age 17–27).

EY Romania is privileged to advise Kingfisher, an international home improvement company with over 2,000 stores and 78,000 employees, on the agreed sale of Brico Dépôt Romania to Altex, market leader of the Romanian electro-IT retail sector.

During the EY-led process, the team provided full sell-side M&A assistance, structuring and coordinating the execution of the transaction.

Brico Dépôt Romania has the 2^nd largest store network on the Romania DIY retail market, having entered the country in 2013 via its acquisition of Bricostore Romania and further expanding in 2017 through its acquisition of local Praktiker operations. Brico Dépôt’s stores are designed to maximise customer shopping experience and address all DIY, DIFM and trade needs under one roof. The network is supported by a strong omnichannel proposition​ and an agile centralized headquarters.

Founded in 1992, Altex is Romania's market leader in electro IT retail and one of the largest and most recognisable Romanian brands. It currently operates 135 stores under two brands (Altex and Media Galaxy) in around 70 cities, covering all of Romania’s 42 counties.

EY’s multi-jurisdictional team provided end-to-end M&A advisory with an integrated service offering covering the full spectrum of sell-side assistance services, including vendor financial and tax due diligence, as well as SPA advisory and operational separation services. The successful execution of the announced transaction is owed to EY’s multi-disciplinary approach and globally integrated network.

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About EY Romania

EY is one of the world's leading professional services firms with 392,995 employees in more than 700 offices across 150 countries, and revenues of approx. US$51.2b in the financial year that ended on 30 June 2024. Our network is the most integrated worldwide, and its resources help us provide our clients with services allowing them to take advantage of opportunities anywhere in the world.

With a presence in Romania ever since 1992, EY provides, through its more than 1000 employees in Romania and the Republic of Moldova, integrated services in assurance, tax, strategy and transactions, and consulting to clients ranging from multinationals to local companies.

Our offices are based in Bucharest, Cluj-Napoca, Timisoara, Iasi and Chisinau. In 2014, EY Romania joined the only global competition dedicated to entrepreneurship, EY Entrepreneur Of The Year. The winner of the national award represents Romania at the world final taking place every year in June, at Monte Carlo. The title of World Entrepreneur Of The Year is awarded in the world final. For more information, please visit: www.ey.com

Deloitte Romania assisted AQUILA, one of the leaders in the integrated distribution and logistics services for the fast-moving consumer goods market in Romania and the Republic of Moldova, in its expansion on the Hungarian market through the acquisition of KITAX, one of the top five distribution companies in its field. The agreement was signed in December 2024, for a value of no more than 14 million euros, and is subject to approval from the Hungarian authorities and Aquila General Shareholders Meeting.

The Deloitte multidisciplinary team made of financial and tax consultants from Romania and Hungary assisted AQUILA during the financial and fiscal due diligence stages. The Romanian team consisted of Radu Dumitrescu, Partner-in-Charge, Vlad Balan, Director, Sorin Rugina, Manager, Catalina Nechita, Senior Associate, Vlad Muresan and Daniel Mircia, Associates, from the Financial Advisory department. The Hungarian team was made of Gabor Koka, Partner, Mario Bella, Senior Manager, Barbara Angyal, Senior Consultant, and Martin Kovacs, Consultant, from the Tax department.

“Our long-term successful collaboration with AQUILA continues with a new acquisition, which is relevant for the group’s growth story, as it marks the entry of this Romanian entrepreneurial business on a second external market, after the success obtained in the Republic of Moldova. It is a new step in their ambitious regional expansion strategy,” said Radu Dumitrescu, Financial Advisory Partner-in-Charge, Deloitte Romania.

AQUILA was established in 1994 as a family business and has consistently expanded over the past 30 years, both organically and through acquisitions, such as the takeover of AGRIROM, in 2019, of Romtec Europa, Parmafood Group Distribution and of Parmafood Trading, in 2024. The group is also active in the Republic of Moldova since 2001, through Trigor AVD. AQUILA Group has partnerships with international giants such as Unilever, Ferrero, Mars, Lavazza, Iffco, Philips, and its products are distributed through over 70,000 sales points across the country, located in major retail chains and gas stations. According to the latest financial results, AQUILA ended the first nine months of 2024 with revenues of nearly 2.1 billion lei, supported by the organic growth in the distribution segment and by the contribution of the three companies acquired in 2024 that operate on the Romanian market.

Founded in 2002, KITAX is a distributor of professional hygiene and cleaning products, consumables for the HoReCa sector, as well as health and safety equipment. The company reported revenues of circa 10 million euros at the end of 2023.

Deloitte provides industry-leading audit and assurance, tax and legal, consulting, financial advisory, and risk advisory services to nearly 90% of the Fortune Global 500® and thousands of private companies. The firm’s professionals deliver measurable and lasting results that help reinforce public trust in capital markets, enable clients to transform and thrive, and lead the way toward a stronger economy, a more equitable society and a sustainable world. Building on its 175-plus year history, Deloitte spans more than 150 countries and territories. Its objective is to make an impact that matters through its approximately 460,000 people worldwide.

Deloitte Romania is one of the leading professional services organizations in the country providing, in cooperation with Reff & Associates | Deloitte Legal, services in audit, tax, legal, consulting, financial advisory, risk advisory, business processes as well as technology services and other related services, through 3,200 professionals.

Please see www.deloitte.com/ro/about to learn more about the global network of member firms.

In a constantly evolving economic sector where the need for quick and strategic capital is crucial for business growth, a leading Romanian company in the baking and pastry industry has successfully secured a new credit line before the year-end. This significant achievement was made possible with the support of the legal team at Bulboacă & Asociații, who once again demonstrated their ability to assist entrepreneurs at key moments in their business journeys. 

The company, renowned for its solid tradition and extensive recognition for meeting the highest national and European standards, has achieved remarkable organic growth over the years. To strengthen this status further, the need for additional financing became evident. At this point, the expertise of the Bulboacă & Asociații team proved invaluable. They contributed to designing the financing structure, creating guarantee mechanisms, and negotiating contract terms to ensure the funding was accessible swiftly and under favorable conditions. In addition to negotiating a pro-business credit agreement and structuring guarantees, the Banking & Finance team at Bulboacă & Asociații promptly addressed the requests of both the company and the financier, clarifying essential aspects of the financing process. 

This efficient collaboration enabled the successful completion of the financing within a very short timeframe in the dynamic financial landscape. Thanks to the swift action and strategic operationalization of the financing by the Banking & Finance lawyers at Bulboacă & Asociații, the baking industry company not only secured the necessary resources to continue its development but also ensured financial flexibility to meet immediate needs. Bulboaca & Asociatii SPARL is predominantly a Corporate M&A and Finance & Restructuring legal powerhouse with investment banking type of mentality & approach. Established following of a spin-off of the Bucharest office of a Magic Circle law firm, Bulboacă şi Asociaţii has one of the strongest brands on the Romanian law market, with preponderant experience in financing & restructuring, mergers & acquisitions, insolvencies & litigation and labor law, since 1’st January of 2007. 

We are involved in some of the most sensible and demanding transactions or matters, very often quite difficult to close or to solve, whereby a staggering, passionate and a determined approach, alongside with the specific legal and business acumen plays a fundamental role. We counsel financial institutions, funds, companies, their senior management or shareholders with respect to situations that are critical. When our clients are facing a major challenge, that is beyond the usual thinking or unsolvable, our experience evidences that also in such situations there are real chances to make a deal or to solve a matter

Global law firm Dentons has advised Electrica on the successful bid of its subsidiary, Crucea Power Park SRL (CPP), in the first round of the Contracts for Difference (CfD) auction as part of Romania’s state aid scheme for renewables. 
CPP, which is developing the Crucea Est wind farm,  is 60% owned by Electrica.  It was designated among the winners in the inaugural round of the auction for its onshore wind power generation project, with an allocated installed capacity of 54.0 MW, at a price of €77.3250/MWh.

Dentons provided comprehensive legal guidance throughout the entire auction process. Partner and Head of the Energy department in Romania, Claudiu Munteanu-Jipescu, led the team, assisted by counsel Elena Vlasceanu and senior associate Angelica Pintilie.
Claudiu Munteanu-Jipescu commented: "We are honored to have assisted Electrica in this landmark and innovative project, pivotal not only for our client but also for advancing renewable energy in Romania. This success underscores our commitment to facilitating the energy transition and highlights our deep sectoral expertise in energy projects."
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ENDS
About Dentons
Across over 80 countries, Dentons helps you grow, protect, operate and finance your organization by providing uniquely global and deeply local legal solutions. Polycentric, purpose-driven and committed to inclusion, diversity, equity and sustainability, we focus on what matters most to you. www.dentons.com

For further information, please contact:
Cristina Cazan 
Head of Marketing & Business Development, Dentons Romania
cristina.cazan@dentons.com