A multidisciplinary team consisting of lawyers from Reff & Associates and financial and tax advisors from Deloitte Romania assisted the investment fund SARMIS Capital in the takeover of the majority stake of the paper producer MG-Tec Industry. The transaction was completed in October 2024, following regulatory approvals.
Following this acquisition, SARMIS Capital will support MG-Tec Industry in its international expansion process. The paper manufacturer currently owns three modern production facilities located in Dej, Cluj County, and a diversified product portfolio, which includes jumbo rolls, toilet paper, kitchen towels, wipes and medical rolls, marketed under both its own brands and private labels.
“We collaborated very well with Reff & Associates’ team in this project – I was glad to have a team by my side that helped me quickly and pragmatically find efficient solutions that supported the transaction’s tempo and the involved parties’ desire to successfully complete an investment in an important field,” said Catalin Oroviceanu, Partner, SARMIS Capital.
The lawyers from Reff & Associates | Deloitte Legal involved in the project, coordinated by Georgiana Singurel, Partner and Leader of the Commercial, Corporate and M&A practice, provided complex legal services throughout the transaction, covering the legal due diligence stage, which involved a complex analysis from multiple angles, as well as assistance in the structuring and implementation phases of the transaction. Also, the legal experts assisted SARMIS Capital in the documentation preparation and negotiation, signing and closing, after the necessary conditions were met. The team consisted of Stefan Caramida, Senior Managing Associate, who was involved in all the essential phases of the project and worked closely in the due diligence process with Adrian Radu, Senior Associate, Ovidiu Balaceanu, Senior Managing Associate, and Calin Cosma, Senior Associate, who covered the issues related to permits (including environmental permits), Adrian Coman, Senior Managing Associate, specialized in state aid, Bogdan Vlad, Senior Associate, from the banking and finance team, and Diana Stan, Managing Associate, from the real estate law team. From Deloitte Romania, the team involved in the project conducted the financial due diligence, through the contribution of Radu Dumitrescu, Partner-in-Charge, Vlad Balan, Director, Silvia Mihu and Laura Necsuliu, Managers, and Andrea Dobrota, Associate, from the Financial Advisory practice. Also, fiscal consultants Dan Badin, Partner, Laura Bobar, Senior Manager, Alexandra Gheorghe, Manager, and Stefania Samson, Consultant, from the Tax practice, ensured the tax due diligence process. The project also benefited from the contribution of Alexandru Reff, Country Managing Partner, Deloitte Romania and Moldova.
“Our multidisciplinary team provided assistance in all the stages of this transaction, providing our client SARMIS Capital with a broad and detailed vision of the company they were going to take over. The complexity of the project was generated by the specifics of MG-Tec Industry's field of activity and by the multiple aspects covered by our analysis, which required expertise in various areas of practice – commercial law, environment, financing, real estate, labor law, financial advisory and tax. We are grateful to have had the opportunity to contribute to the success of one of the most important transactions in the paper production sector,” said Georgiana Singurel, Partner, Reff & Associates | Deloitte Legal, and Leader of the Commercial, Corporate and M&A practice.
The private equity fund SARMIS Capital, established in 2019 by a local team, invests in companies active in most of the economic sectors both in Romania and in Central and Eastern Europe. In its more than 15 years of activity, the fund has been involved in 20 transactions, invested over 230 million euros and obtained banking financing of over 250 million euros for portfolio companies.
Reff & Associates | Deloitte Legal is recognized as a leading law firm in Romania for the quality of services and ability to deliver solutions on complex legal matters. The areas of practice include banking and finance, competition, employment, energy and environment, insolvency, legal management consulting, litigation, corporate, mergers and acquisitions, public sector and real estate, as well as optimization of legal processes and the adoption of new technologies. The firm represents in Romania Deloitte Legal, a global network with more than 2,500 lawyers in 80 countries.
For more information about Reff & Associates, please visit www.reff-associates.ro. For more information about the global Deloitte Legal network, please visit its dedicated web section.
Deloitte provides audit, tax and legal advice, advisory, financial advisory and risk management services globally to approximately 90% of the Fortune Global 500® companies and thousands of private sector companies. The firm's experts help achieve measurable and lasting results that help build trust in capital markets, enabling companies to transform, thrive and pave the way for a stronger economy, a fairer society and a sustainable world. With a history of more than 175 years, Deloitte covers more than 150 countries and territories. Its objective is to create a visible impact in society with the help of its approximately 460,000 professionals worldwide.
Deloitte Romania is one of the largest professional services firms in our country and offers, in cooperation with Reff & Associates | Deloitte Legal, audit, tax advisory, legal, advisory and risk management, financial advisory, service solutions and technology consulting, as well as other related services, through 3,200 professionals.
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