Reporting on the most interesting recent developments in Bulgaria Gugushev & Partners Law Office Senior Partner Dafinka Stoycheva shares her views on continuing political instability in the country, a major investment dispute, and significant legal and regulatory developments.

In The Corner Office, we ask Managing Partners at law firms across Central and Eastern Europe about their backgrounds, strategies, and responsibilities. As partner departures are inherent to the workings of any law firm, and likely demand clear strategies for navigating, this time around we asked: What are the three most important items on your checklist when a Partner leaves your firm?

Derivatives, repurchases, and securities lending transactions are often used by sophisticated financial institutions and large corporate entities in Bulgaria to manage their portfolios of investments, hedge against financial risks, or get short-term credit. Such products are predominantly offered on an OTC basis by foreign banks, with mainly the largest local banks having the know-how and resources to do the same.

Gugushev & Partners has advised the founders of Flat Manager on the sale of the company to Renters. Hristov & Partners advised Renters.

Wolf Theiss, working with Simpson Thacher & Bartlett, Gorrissen Federspiel, and Hengeler Mueller, has advised Software AG on the carve-out and sale of its Super Integration Platform as a Service business to IBM. Binder Groesswang, working with Cravath, Swaine & Moore, advised IBM.

In recent months, Bulgaria has undergone significant changes to its Anti-Money Laundering (AML) legislation intending to achieve the long-overdue complete transposition of the EU 2018/843 Directive into national law and meeting the higher standards set forth in the Financial Action Task Force’s (FATF) recommendations on Anti-Money Laundering/Countering the Financing of Terrorism (AML/CFT), especially following the country’s inclusion in FATF’s so-called “grey list” of jurisdictions under increased monitoring.  Naturally, these changes give rise to a number of new obligations for businesses to comply with. The purpose of this article is to provide an overview of the most significant changes.

CMS has advised Solar Park Trakia on the completion of the development of the 50-megawatt Sinotovo photovoltaic project in Bulgaria.

The Supreme Administrative Court (SAC) ordered the National Revenue Agency (NRA) to repay default interest charged on precisely defined and fully paid advance corporate income tax instalments that were not declared.

As of June 1, 2025, the traditional paper labour book will be phased out in favor of a digital alternative. All employment data will now be maintained in an electronic employment register managed by the National Revenue Agency (NRA). This transition is part of a broader effort to modernize the Labour Code and digitize employment relationships, aiming to eliminate the risks associated with physical document loss and to ensure that data is always current and accurate.

Yankulov & Associates has advised Stanislav Gochev on an investment from Adarna Invest for WPP Gorichane that also saw the exit of Valentin Ivanov. Reportedly, Schoenherr advised Adarna Invest and Novel Law advised Valentin Ivanov.

The Anti-Money Laundering and Countering Financing of Terrorism legislative package of the European Union (“EU”), proposed on 20 July 2021 by the European Commission, and approved by the European Parliament plenary this April was published in the Official Journal of the EU on 19 June. The new legislative package introduces significant regulatory changes in connection with the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, both on European and national level.

Contributed by Kinstellar.

Djingov Gouginski Kyutchukov & Velichkov has advised Bianor Holding on its acquisition of Digital Lights and Prime Holding. Karastoyanov, Mitkov & Associates advised the seller of Digital Lights Dimitar Dimitrov. Shopova, Kolarova & Partners advised Prime Holding's sellers Noratex and minority shareholders.

Eversheds Sutherland Bulgarian member firm Tsvetkova Bebov & Partners has advised on TBI Bank's EUR 20 million issuance of MREL notes.

The long-awaited Han Tervel tender procedure has been opened for bidding following the adoption of the Council of Ministers’ decision dated 23 August 2023 and its recent publication in the Official Journal of the EU.

Wolf Theiss has advised Bulgarian-American Credit Bank on its issuance and listing of EUR 15 million 8.00% 2024-2034 subordinated tier 2 notes.

Dimitrov, Petrov & Co has advised Electrawinds Bulgaria on the sale of a 70-megawatt photovoltaic project near the town of Montana, Bulgaria, to an SPV of Mytilineos. Schoenherr reportedly advised Mytilineos.

Schoenherr has advised CloudM Software Limited on its acquisition of Bulgarian software development company BeLean from Nikolay Radoslavov Mitev.