BR/07-08/2022 by Business Review

CONSTRUCTION INDUSTRY FACING NEW CHALLENGES IN SECOND HALF OF 2022

WHERE ROMANIA TALKS BUSINESS July-August, 2022 / Volume 26, Issue 6 www.business-review.eu

ROMANIA’S M&A MARKET MAY SEE DOUBLE-DIGIT DECLINE IN 2022

LIFE AT AN ADVERTISING AGENCY IN 2022

SUMMER IN THE CITY

COMPANIES EMBRACING SUSTAINABILITY FOR A BETTER FUTURE

www.business-review.eu Business Review | July-August 2022

• Editorial •

Anda Sebesi • Editor-in-Chief •

EDITORIAL 3 REAL ESTATE 6 Construction industry facing new challenges in second half of 2022

8 Retail segment recovering as shoppers crave more human interaction

COVER STORY

10 Companies

Paving the way to a better future

embracing sustainability for a better future

FDI

he CSR scene in Romania has been growing more mature in recent years, as companies are seeking long-term strategies and not just targeted actions. Directions and trends are still

being dictated by large companies, whose strategies and objectives are set at the global and regional level and adapted to local needs. So far, many companies in Romania have understood the value of

20 Romania’s FDI position gains prominence despite regional challenges

a robust CSR strategy, which must be aligned and integrated with their operations, values, and mission. At the same time, we’ve been seeing a shift from isolated

ENTREPRENEURSHIP

sponsorships and donation projects to complex initiatives that dedicate significant resources to making a positive impact in the community. Organisations have realised that they had both the responsibility and the ability to drive such changes, like never before. But the most important element of progress for Romania is the fact that the country is actually delivering good practices to the region in terms of sustainability and CSR projects. This is why we have dedicated this month’s cover story to sustainability, a topic

22 Meetgeek.ai founders: We want to build the future of meetings

CITY

which is now a top priority for many companies and organisations in Romania. Environmental protection is no longer just about making small interventions with an environmental component, but a crucial part of sustainable business development. It is no longer a nice-to-have, but a must, as we’re all experiencing the negative effects of climate change, from extreme weather conditions to major negative economic phenomena, both locally and globally. It is therefore time for both companies and individuals to act in order to pave the way to a better future for the coming generations.

35 13 spaces in Sibiu become temporary homes for contemporary art through visual arts platform

36 Summer in the city

38 Cultural calendar

EDITOR-IN-CHIEF: Anda Sebesi JOURNALISTS: Aurel Constantin, Mihai Cristea, Deniza Cristian, Romanita Oprea, Oana Vasiliu CONTRIBUTORS: Ovidiu Posirca, Claudiu Vrinceanu COPY EDITOR: Anca Alexe PHOTO EDITOR: Mihai Constantineanu PHOTOS: Dreamstime ART DIRECTOR: Raluca Dumitru PUBLISHER: Bloc-Notes Media Network ADDRESS: 82-98 Calea Grivitei, 1st floor, Hotspot Workhub, District 1, Bucharest, Romania SALES MANAGERS: Radu Fireteanu, Alexandra Rosca MARKETING & SALES MANAGER: Luiza Luca PRODUCTION: Dan Mitroi DISTRIBUTION: Eugen Musat EXECUTIVE DIRECTOR: George Moise GENERAL MANAGER: Catalin Alistari USA MANAGER: Oana Molodoi FOUNDING EDITOR: Bill Avery EMAILS: editorial@business-review.eu, sales@business-review.eu, events@business-review.eu SUBSCRIPTIONS on Manpres Distribution Business Review is a member of Fwei

Publicație auditată pe perioada Apr 2015 - Mar 2016

ISSN NO. 1453-729X

www.business-review.eu Business Review | July-August 2022

4 NEWS

WHO’S NEWS BR welcomes information for Who’s News. Submissions may be edited for length and clarity. Get in touch at mihai.cristea@business-review.eu

Romanian entertainment and media industry expected to grow by 10% in 2022 By Deniza Cristian percent in Poland this year, by 7.85 percent in Hungary, and by 7.45 percent in the Czech Republic. With pandemic restrictions lifted, the film industry has started to recover. Last year saw record growth on the

Alina Dimitriu is EY Romania’s new Assurance Service Line Leader. A partner and leader of the Audit department at EY Romania since July 2021, Dimitriu has over 25 years of experience in external and internal audit for clients in banking, insurance, real estate, and other sectors, including listed companies. She has coordinated various local and international projects, working closely with several of the company’s service lines as well as with local and European regulators.

Romanian media and entertainment market, with a 68 percent increase to EUR 25 million. This year’s growth is expected to be even higher, at 83 percent to EUR 46 million, but it will not reach the pre-pandemic level of

With pandemic restrictions lifted, the film industry has started to recover

page 5

The over-the-top (OTT) (e.g., Netflix) services mar-

The entertainment and media

(GEMO). The growth rate is

ket in Romania recorded the

(E&M) industry in Romania is

similar to last year’s 11 percent,

second highest growth on

expected to achieve 10 percent

and the forecast shows that the

the market last year, with 29

year-on-year growth to reach

industry will continue to grow at

percent to EUR 44 million. It

a total value of EUR 3.4 billion

6 to 9 percent per year until 2026.

will continue to grow this year

in 2022, taking it above the

Kim Ruymbeke was appointed President for Eastern Europe at UPS. She is the first woman in the company’s history to take this position. In her new role, Ruymbeke will be responsible for package operations in some of the fastest growing markets in Europe, meeting the growing demands of e-commerce, and helping better connect the region to key export markets both within Europe and across the world. In her previous role at UPS, she was the finance and accounting vice president for Europe.

around EUR 60 million.

Regionally, Romania has the

at a slower rate, estimated at

pre-pandemic level (EUR 2.53

second fastest growing media

18 percent to EUR 52 million.

billion in 2019), with most

and entertainment industry

Romania remains the smallest

segments expected to grow,

among the Central and Eastern

OTT market in the Central and

according to the 23rd edition of

European countries included

Eastern Europe (CEE) region

PwC’s “Global Entertainment

in the report. For example, the

despite impressive growth rates

& Media Outlook 2022−2026”

sector is expected to grow by 10.2

in recent years.

Tazz launches seaside deliveries in Mamaia and Constanta By Deniza Cristian Tazz has extended its summer

branded lounge areas, on The

delivery services to the beaches

Beach by Shut Up in Mamaia and

and accommodation units in Ma-

on Zoom Beach in Constanta.

maia, as well as to the beaches of

“During the summer, it’s not

Constanta. Tourists and resi-

a secret that people spend a lot

dents can enjoy the food they or-

of time away from home, wheth-

der through the app in the Tazz

er we’re talking about holidays

Tazz launched delivery on its partner beaches in Constanta and Mamaia

www.business-review.eu Business Review | July-August 2022

NEWS 5

Restart Energy implements photovoltaic project worth EUR 160,000 By Deniza Cristian Dan Boabes, a manager with over 20 years of experience in telecommunications and IT, has been appointed as country manager of BlackCab. Over the years, Boabes (48 years old) has founded companies such as SimPlus – a mobile phone payment aggregator, CityLink – a provider of car sharing services, and 4mind.ro, a mental health and well-being project.

Restart Energy, one of the largest independent suppliers of electricity on the local market, announced that it signed a contract worth EUR 160,000 with Agro-complex Lunca Pașcani for the installation of photovoltaic (PV) generators with a combined power of 248 kWp. The project involves the installation of 552 PV panels on an area of 1,320 sqm on the roof of Agrocomplex Lunca Pascani. The PV generator will produce 6,050 MWh over the next 25

Armand Domuta, the General Manager of Restart Energy

years, leading to an estimated EUR 700,000 reduction in

independent. Photovoltaic sys-

sume,” says Armand Domuta,

electricity costs.

tems are extremely competitive;

the General Manager of Restart

the cost of producing solar en-

Energy.

The investment aims to

In January 2021, Restart En-

cover 85 percent of the compa-

ergy for a new plant that requires

ny’s energy needs as well as to

investment amortisation is half

ergy signed a partnership with

reduce the company’s carbon

the cost of the energy produced

Interlink Capital Strategies, a

footprint by 76 tonnes and its

in a coal or other fossil fuel plant

Washington DC-based fund, to

generated radioactive waste by

that has already depreciated in

finance the development of 500

0.7 kg per year.

value. Furthermore, those who

MW of renewable projects in

invest in green energy receive

Romania by 2025 and provide

more Romanian companies

tokenised carbon credits on the

100 percent locally produced

becoming interested in green

RED platform, as per the amount

green energy to all its final

energy and becoming energy

of renewable energy they con-

customers.

“I am glad to see more and

Anca Simionescu is the new General Manager of Niro Investment Group. With over 15 years of experience in commercial and residential real estate investment, asset management, and business development, she has been a member of the management teams of companies such as Skanska Romania, Forte Partners, and Lion’s Head, and has successfully coordinated landmark real estate projects in Bucharest.

or everyday life. Consequently, as always, we’ve adapted our services to the customers’ behaviour and launched delivery on our partner beaches in Constanta and Mamaia, also covering the accommodation areas. We are talking about specific seasonal products, such as sunscreen, soft drinks or ice cream delivered in insulated boxes, as well as books or a diversity of meals from local restaurants,” said Razvan Acsente, Chief Marketing Officer at Tazz.

Jagoda Zientara, previously the Chief Financial Officer and a member of the Executive Committee of Carrefour Romania since February 2020, has been appointed Chief Operating Officer (COO). In her previous role, Jagoda supervised a team of over 250 people and coordinated key financial activities that led to a strong development of the company’s business.

www.business-review.eu Business Review | July-August 2022

6 REAL ESTATE

Construction industry facing new challenges in second half of 2022 Rising materials prices and labour costs, staff shortages, supply chain issues, and depleted stocks are some of today’s biggest challenges for players in the construction industry. In terms of opportunities, we can anticipate an increase in large companies’ interest in ESG policies and sales being driven by the fact that housing demand still significantly exceeds the supply. By Claudiu Vrinceanu a long time to recover. Externally, there is the uncertainty caused by the war in Ukraine and its effects. One of these effects is the increase in energy prices, and people are preparing for what comes next. Also, let’s not forget about the supply chain bottlenecks which are causing delays and even further price increases,” says Speedwell co-founder Jan Demeyere.

BUYERS BEING MORE CAREFUL TO COMPENSATE FOR HIGH INFLATION The development of the Romanian construction market is intertwined with current regional and global circumstances. The ecoDemand for high-quality building materials and modern HVAC solutions will increase

nomic contraction will put considerable pressure on everything related to this segment.

The current geopolitical and macroeco-

(environmental, social, governance) policies

The industry will also be affected by the rising

nomic developments are a source of

is an important opportunity for the construc-

cost of building materials and energy and the

uncertainty impacting all sectors. The

tion market. IMMOFINANZ expects signifi-

expected interest rate hikes. Buyers will be

construction industry is particularly chal-

cant renovation projects for old buildings to

increasingly cautious as they try to offset high

lenged in terms of sourcing and accessing

reduce the carbon footprint or to add spaces

inflation. "Developers are much more conser-

materials and the remainder of the year will

with landscaping interventions. Demand for

vative in planning new speculative projects,

be demanding. At IMMOFINANZ, we are cur-

high-quality building materials and modern

rently engaged in refurbishment works at the

HVAC solutions will increase. More projects

myhive Victoria Park office building, and we

are also expected to adapt energy supply sys-

are preparing to start an extensive refurbish-

tems, focusing on using renewable energy.

ment of landmark property Bucharest Finan-

There are many elements that will influ-

cial Plaza," says Fulga Dinu, Country Manager

ence the construction market in the second

for Operations at IMMOFINANZ Romania.

half of this year. We can also mention infla-

There are also present challenges that are

tion, higher interest rates, the significantly

eventually going to bring up opportunities for

delayed—or even completely absent—con-

the economy. For instance, the very high en-

struction permits that will result in fewer

ergy prices are creating a further incentive to

active building sites, and the rising prices for

expand climate-neutral solar energy genera-

the available stock of residential units. “This

tion as quickly as possible. IMMOFINANZ sees

is a period where the public sector should

this as an essential contribution to the fight

fully cooperate with developers to make sure

against climate change and a great opportu-

the construction market doesn’t end up in a

nity and competitive advantage.

recession and isn’t forced to cut jobs. The cost

The interest of large companies in ESG

of the latter will be immense and might take

Fulga Dinu, IMMOFINANZ Romania

www.business-review.eu Business Review | July-August May 2016 2022

COVER REALSTORY ESTATE14 7

which means that we will have a limited

public infrastructure is expected to acceler-

that they are mainly heading towards the

amount of new supply on the market, and

ate the recovery across the non-residential

medium-high segment, and we are glad that

consequently that the average vacancy rate

segment. Technological progress, significant

we can meet their needs through our Luxuria

in the real estate sector will decrease. At the

improvements in construction techniques,

Residence project," Tinu Sebesanu added.

same time, we will see higher asking rents for

and the use of superior types of raw materi-

all types of spaces, while some projects may

als are some of the factors that will boost the

tion market in Romania faces the problem

take slightly longer to complete due to the

construction industry," Daniela Gavril adds.

of workforce shortages. While the lack of

uncertain global logistics and transport situa-

Given that the first half of 2022 was

At the same time, the entire construc-

unskilled staff can more easily be covered

tion," said Daniela Gavril, Head of Research at

marked by a “perfect storm”—supply chain

by bringing workers from Asia or Africa, the

CBRE Romania.

bottlenecks, depleted stocks for certain raw

higher levels of specialisation will soon see

materials, and price increases for construc-

acute shortages of well-trained staff.

Despite all the troubles of recent months,

For example, according to Graphein, the recruitment of surveyors and design specialists, where there’s close competition not only with employers in the same industry, but also with players on the IT market, involves strategic and very dynamic headhunting. Additionally, employers are aligning with a general change in thinking that requires flexibility in both working schedules and conditions and in terms of the benefit packages being offered to potential employees. “Candidates also tend to retain some of the benefits that emerged during the pandemic by negotiating a remote tion materials, oil, and electricity, on top of

or hybrid work schedule, wellness pack-

which came the war in Ukraine along with

ages or funding for parenting programmes.

all the problems it has generated—, develop-

Another concern is the recovery of debt in

ers expect prices to rise in the second half

the construction sector, which seems to be

as well, and the appetite for loans to remain

causing a lot of trouble. A possible economic

low amid rising interest rates. "Moreover, in

crisis could generate serious turmoil if a large

addition to all these challenges, Bucharest is

developer or builder goes into insolvency in

facing another huge problem caused by the

the coming period," said Eugen Ursu, the CEO

freezing of construction permit issuance by

of Graphein.

the local authorities. Apartment stocks from

the construction industry still has reasons

existing permits will soon be depleted, which

have been investing in their own sales depart-

will lead to exponential price increases," says

ments have an advantage. "When you have a

Tinu Sebesanu, the CEO of Impact Developer

competitive sales team, you can more easily

& Contractor.

generate cash and better profit margins even

to be optimistic about this year's growth potential and opportunities to improve its

In terms of opportunities, companies that

if demand declines. Meanwhile, companies that have been used to customers coming to

operations and productivity. Romania's most

HOUSING DEMAND STILL CONSIDERABLY HIGHER THAN THE SUPPLY

significant advantage in the region is its

The biggest opportunity on the Romanian

teams will be affected," said Andrei Spataru,

availability in the office and industrial seg-

residential market is represented by the fact

the CEO of IBC Focus.

ments: we can attract and accommodate new

that the housing demand still significantly

tenants and new requirements without losing

exceeds the supply. In Romania, the pace

could also bring more investments to Roma-

business, according to CBRE. "The balanced

of construction is still very slow consider-

nia, in many areas such as the agricultural-

development of recent years has been helping

ing the need for housing, and prices are still

zootechnical, industrial, and logistics sectors.

us remain in a safe zone in these turbulent

much lower than those in similar European

"We of course expect new players to appear

times. In the coming months, we will see a

cities. "The certainty of prices going up in the

on the Romanian construction market, some

repositioning of the real estate market as Ro-

future and the growth of the rental market,

of whom have so far only tested the ground.

manian developers pursue new development

as a result of the decrease in the number of

Therefore, there’s a context for higher invest-

areas and different project formats. Mixed-

loan buyers, have made small investors see

ments in certain sectors, which in turn may

use projects will be increasingly present in

the residential sector as a very good invest-

also attract new players to the market," IBC

both cities and suburban areas. Investment in

ment opportunity these days. We’ve noticed

Focus specialists conclude.

them and haven’t invested in building sales

The relocation of global distribution chains

www.business-review.eu Business Review | July-August 2022

8 REAL ESTATE

Retail segment recovering as shoppers crave more human interaction The end of all pandemic-related restrictions in earlier this year convinced people to go to the shopping mall more often. After two years of covid-19 pandemic, when they did more online shopping, people have been eager to meet and spend time together. By Aurel Constantin

The total stock of retail spaces in Romania reached 4.14 million sqm at the end of Q1 2022

he largest mall owner in the country,

ance. People are bored of shopping online and

area will bring an additional 35,000 square

NEPI Rockcastle, expects 2022 sales

they want to go out to meet other people. I

metres, according to CFO Eliza Predoiu.

to be at least at the same level as 2019,

think they saved money during the pandemic

The company is open to new investments

which was a good year for Romanian retail.

period, and now the market has recovered. As

in Romania, as it has EUR 1 billion in available

The developer continues to invest locally,

long as there are no other major disruptions, I

liquidity for the entire region, but there are

where it has projects worth about EUR 400

believe we will return to the 2019 level," says

no good opportunities in sight. "We can make

million under construction.

Rudiger Dany, the new CEO of NEPI Rock-

purchases, but I don't see any viable product.

castle.

I hope prices will fall, but I don't know when

Sales of tenancy in NEPI Rockcastle malls, excluding hypermarkets, were 53 percent

The company is currently developing six

that will happen and whether it will be quick

higher in the first quarter of this year than

projects, four of which are in Romania. The

enough. If you look at the purchases of the

in the first three months of 2021. Sales in

extension of Promenada Mall in Bucharest,

last two years, the average ticket price in Cen-

February and March were only slightly higher,

where construction works have started to add

tral and Eastern Europe was EUR 20 million,

but still exceeded those achieved in the first

34,000 sqm of additional retail space and a

which for retail is a very small number; our

quarter of 2019, which indicates a return to

similar surface area for offices, with a total

shopping centres go over EUR 100 million.

the pre-pandemic level.

investment value of EUR 280 million. Another

There haven't been that many transactions in

major investment, worth over EUR 100 mil-

the last two years because no one wanted to

to be at least as good as 2019, a landmark year.

lion, is in Craiova. NEPI Rockcastle is also

sell and everyone was asking for a pandemic

"The online market has grown strongly in the

investing in a mixed project in Galati, where it

discount. Now that the pandemic is over, the

last two years, and now we’re seeing a bal-

already has a shopping centre. The new retail

market will start offering more opportuni-

NEPI Rockcastle officials expect this year

www.business-review.eu Business Review | July-August May 2016 2022

COVER REALSTORY ESTATE14 9

ties,” said Rüdiger Dany, the CEO of NEPI Rockcastle.

DEVELOPERS STILL EXPANDING Real estate developers continue to expand their retail portfolios in Romania, with over 500,000 sqm of new spaces announced for the next 4 years. Ten of the projects in the pipeline cover more than 10,000 sqm each, according to the Bucharest Retail Market and the Romania Retail Regional Cities reports, produced by Cushman & Wakefield Echinox. At the regional level, projects totalling 270,000 sqm are under construction or in various planning phases in Romania’s centrewest area, and they will be added to the existing stock of 1.4 million sqm. This area will therefore remain the most developed in terms of modern retail spaces.

Rudiger Dany, NEPI Rockcastle

Bogdan Marcu, Cushman & Wakefield Echinox

Moreover, 137,000 sqm of new spaces are planned for development in the east area,

though the purchasing power in these cit-

RETAIL VALUE GOES UP

which had a total stock of 610,000 sqm at the

ies is the highest or among the highest in

Investor interest in retail products has been

end of March 2022, while the correspond-

the country. In Bucharest, spaces totalling

growing steadily over this past year, focusing

ing pipeline for the south area (which has a

48,400 sqm are currently under construc-

on various product categories, such as retail

current stock of 842,000 sqm) totals 156,000

tion, namely the Promenada Mall exten-

parks or shopping malls, shopping centres in

sqm.

sion in the Floreasca-Barbu-Vacarescu area,

tertiary/secondary cities in need of reposi-

Lemon Retail Park in Voluntari, and Green-

tioning or boxes rented to supermarkets or

field Plaza.

DIY stores. According to Colliers consultants,

The city of Resita, with a population of 73,000, is currently the largest city in the country without a modern retail project.

The total stock of retail spaces in Romania

malls are not available on the market for

However, Nhood has announced plans to

reached 4.14 million sqm at the end of Q1

trading, so investors have shifted to similar

develop a 35,000 sqm shopping centre in the

2022, with 2.88 million sqm located outside

alternative products.

coming years, as part of an urban regenera-

Bucharest, and 1.26 million sqm inside the

tion project. Giurgiu and Alexandria are two

capital city.

other important cities lacking modern retail

In Bucharest, the highest retail space

Colliers analysts expect to see high interest in any available property of this type. The elimination of pandemic-related rent dis-

projects. But Giurgiu will be added to the map

density is in the 1st District (758 sqm/1,000

counts has had an impact of up to 0.5 percent

this year, through a retail park that Mitiska

inhabitants), followed by the 6th (655

in the evolution of the market value of shop-

REIM is developing in the city. No such proj-

sqm/1,000 inhabitants) and 3rd (488

ping malls, they note, with the positive trend

ects have yet been announced for Alexandria.

sqm/1,000 inhabitants) Districts.

also being supported by turnover-based rent-

Three cities in the country have a den-

“Almost all developers on the local retail

als. In the short term, we can talk about an in-

sity of retail spaces of over 1,000 sqm/1,000

market have announced ambitious invest-

crease in the value of commercial properties,

inhabitants, namely Suceava (1,167 sqm/1,000

ment plans for the coming period, once again

but it remains to be seen how consumption

inhabitants), Oradea (1,047 sqm/1,000

showing their confidence in this real estate

levels will influence the end of the year, when

inhabitants), and Deva (1,006 sqm/1,000 in-

segment. We’re noticing a diversification

the effects of economic compression will be

habitants). The lowest retail space density is

of the formats they intend to bring to the

felt more strongly.

currently found in Tulcea and Calarasi, with

market, with new investments being equally

70 sqm/1,000 inhabitants and 98 sqm/1,000

directed towards shopping centres and retail

value of mall-type real estate are related

inhabitants respectively, even though average

parks. In terms of purchasing power and

to the evolution of lending, interest rates,

net salaries in these towns are higher than

population, there are still important cities

inflation, and utility costs. Consumer credit

those in Suceava, Oradea or Deva. A similar

that could absorb modern retail schemes if

increased in the first quarter of this year by

situation can also be observed in large cities

these were adapted accordingly to the exist-

about 12 percent compared to the same period

such as Cluj-Napoca, Alba Iulia, Craiova, Iasi,

ing needs and requirements,” said Bogdan

of last year, largely in line with inflation," says

and even Bucharest, which have relatively

Marcu, Partner in the Retail Agency at Cush-

Raluca Buciuc, Director and Partner of Valua-

low densities for modern retail spaces, even

man & Wakefield Echinox.

tion and Advisory Services at Colliers.

“Other major factors that can impact the

www.business-review.eu Business Review | July-August 2022

10 COVER STORY

COMPANIES EMBRACING SUSTAINABILITY FOR A BETTER FUTURE

While the level of CSR investments made by companies operating in Romania are proportional to the size of the economy, our country has been evolving in terms of the diversity of projects, their impact, and the creativity of the campaigns, and it is actually delivering good practices to the region in terms of company-led sustainability initiatives. Business Review sat down with several companies that have been highly involved in long-term sustainability programmes in Romania to highlight the main trends on the local market. By Anda Sebesi

www.business-review.eu Business Review | July-August 2022

COVER STORY 11

he CSR scene in Romania has been growing more mature in

the generations to come. “We take all aspects of the business into ac-

recent years, as companies are seeking long-term strategies

count, from products and production to human development, use of

and not just targeted actions. Directions and trends are still

resources, waste generation, and responsible marketing,” Nita notes. Alexandra Barroso, Legal and Cor-

being dictated by large companies, which have clear strategies and objec-

porate Affairs Director at Bergenbier

tives set at the global and regional level

SA, says that while until recently, the

and adapted to local needs. “The gap

focus on social responsibilities was

with other European countries will

mainly seen as a link between busi-

narrow as we are going to see increased

ness operations and local communi-

involvement from authorities and local

ties, recent years have shown us how

companies in the future,” says says

important it is to invest in—and commit

Mustafa Tiftikcioğlu, CEO at Garanti

to—environmental, social, and sustain-

BBVA. He notes that there is still confu-

ability issues. “Now, people are the

sion between CSR and sustainability in

ones who expect companies to get in-

Romania, as initiatives under the CSR

volved in the community and actively

umbrella are also tools for reputation

contribute to its development, and companies pay much more attention

building. “Sustainability goes beyond CSR and creates both requirements and opportunities for a sustain-

to current needs,” she says. And in their CSR approach, companies

able future,” he says.

now tend to start from the idea that success is closely linked to the sustainability of the communities in

So far, many companies in Romania

which they operate.

have understood the value of a robust CSR strategy, which must be aligned

“There has been a changeover,

and integrated with their operations,

from isolated sponsorships and dona-

values, and mission. This translates

tion projects to complex initiatives

into tangible action programmes in

that dedicate significant resources to

education, environment, and sports—

making a positive impact in the com-

just to name few. “In recent years,

munity. Organisations have realised

there has been growing interest in

that they had both the responsibility

integrating responsible practices along

and the ability to drive such changes,

the entire value chain, up to customer

like never before. Romania is actually

relations and employee well-being.

delivering good practices to the region from this point of view,” says Ioana

In addition, depending on the company’s community, specific causes such as children’s education and

Gorganeanu, Head of Marketing and Communication at Mastercard

services for disadvantaged groups are addressed more frequently,”

Romania, Croatia, Israel, and the Balkans. She adds that Romania is also advancing in covering the diversity

Tiftikcioğlu adds.

of sustainability areas—and this is not

Mihaela Nita, Public Affairs Manager at Coca-Cola Romania, points out

a random choice of words. “We are

that some years ago, most compa-

happy to see greater openness and ac-

nies would focus on complying with

tion in supporting minorities, women,

regulations and investing in initiatives

the LGBTQIA+ community, and more.”

that brought a positive contribution to

Gorganeanu believes that education

society. “CSR was somehow referred

is the backbone of an evolved society,

to as sustainability too, which meant

while financial education particularly

that if legislation did not impose it,

nurtures stability and autonomy for

operational sustainability investments

individuals and the national economy.

were seen as mere nice-to-haves. For

“Infrastructure and innovation also

few years now, we’ve been seeing sig-

rank among critical needs for sustain-

nificant changes,” she says. Specifically

able local development. As for protecting the environment, it is no less than

talking about the Coca-Cola System, Nita adds that sustainability is addressed by all departments and

crucial, if we want a healthy space to live in and a better future,”

that it is among the company’s main priorities. CSR remains to be

Gorganeanu adds.

addressed by dedicated teams, with the main focus on making a positive change in communities, in order to leave a better world for

While the level of CSR investments made by companies operating in Romania are proportional to the size of the economy, our country

12 COVER STORY

www.business-review.eu Business Review | July-August 2022

has been evolving in terms of the diversity of projects, their impact,

says that one of the company’s important targets is the 100 percent

and the creativity of the campaigns. “We’re now seeing major plat-

collection and recycling goal. “By 2030, we aim to help collect and

forms really driving the change locally: in mindsets, behaviours, and

recycle the equivalent of 100 percent of the packaging we put on the

result multiplication. We’re also seeing

market. Our most recent commitment

change in Romanians’ attitude towards

is reducing emissions across our entire

recycling, with more and more people

value chain to net zero by 2040.”

becoming aware of their impact and the importance of every gesture in the bigger picture,” says Ileana Dumitru,

ESG: THE NEW WAVE IN SUSTAINABILITY

Legal and External Affairs Director of

We often hear about companies in

the Central South Europe Area at BAT.

Romania that have created their

She adds that through BAT’s campaigns

standalone ESG departments. This is

so far, over 2 tonnes of cigarette stubs

the result of the transition to a sustain-

have been prevented from reaching the

able society, which involves systemic

streets and used in energy recovery in

changes in organisations and an ad-

cement factories, and 11,000 of previ-

equately prepared human resource.

ous versions of glo devices went to re-

Therefore, setting up dedicated depart-

cycling. “Still, more effort is necessary

ments and training people to support

in terms of awareness, education, and

ESG trends over the coming decades

driving systemic change through small, repetitive individual actions,” she says. Dumitru adds that harm

is crucial. In addition, the UN Sustainable Development Goals, as defined in 2015, have become a common

reduction, sustainability,

framework for action for

and environmental protec-

governments, companies,

tion are crucial, while

and NGOs. “Creating ESG

social contribution and

departments is a major

irreproachable business

step forward and a proof

ethics and commercial

of the companies’ serious

conduct, are also major

approach towards ESG.

areas on which companies

For real action and change

should focus, now and in

to take place, the right

the future.

mindset should always be

In turn, Alice Nichita,

accompanied by adequate

Corporate Affairs &

resources—in terms of both

Sustainability Director at

financial investments as

Coca-Cola HBC Romania,

well as human resources,

thinks that our market is

tools and instruments,

keeping up with the global

technology, and know-

context, as multinational

how,” Dumitru argues.

companies are guided by a

“Years ago, ESG used

global strategy and work-

to be a ‘nice-to-have’

ing to make a positive local

department on a com-

impact under the global

pany organisational chart;

framework. “Moreover,

today, it is a must. By inte-

businesses that were

grating ESG practices into

developed in Romania,

its operations, a company

especially in recent years,

can improve long-term

are looking closely at how

performance and man-

they could contribute to

age risk effectively, which

tackling social and envi-

ultimately contributes to

ronmental challenges—and

increasing investor and

we’re seeing this across

customer confidence in the

all kinds of businesses, from small shops to large music festivals,”

company’s future prospects,” says Perry V. Zizzi, Managing Partner

Nechita notes. Referring to the Coca-Cola System in Romania, she

at Dentons Romania. He adds that climate change, the fallout from

www.business-review.eu Business Review | July-August 2022

COVER STORY 13

the covid-19 pandemic, and now the war in Ukraine have highlighted

ees in Bucharest and Cluj-Napoca have become carbon neutral.

how unprepared the global economy is for catastrophic change.

The process had two stages: the calculation of the agency’s 2021

“Both investors and businesses have

carbon footprint and its neutralisation

catapulted ESG from a marginal issue

thorugh the acquisition of equivalent

to one that requires urgent action, and

carbon credits from the voluntary

ESG has moved to the forefront of con-

carbon market.

cerns for companies looking to be more conscious of their impact and influence

WHAT ARE COMPANIES DOING?

on the environment, on social causes,

In 2020, BAT embarked on a mission

and corporate governance structure

to build A Better Tomorrow, which

and policies.”

implies a consistent transformation

Barosso of Bergenbier thinks that

journey, with ESG (Environmental, So-

the implementation of ESG will certain-

cial, and Governance) principles as key

ly bring a change of vision regarding

pillars of the process. “From the global

the role of a company and its impact on

to the local level, our approach is very

the environment and the community

clear: reducing the health impact of

in which it operates. “There is also a

our business is our main focus area,

need for reporting, and companies are

and so is placing a greater empha-

going to have to allocate resources,” she

sis on the importance of addressing

says. For example, Oxygen was the first

climate change and environmental

integrated communication agency in Romania to become carbon

management. At the same time, we remain committed to delivering

neutral and it is committed to moving to the next level, where envi-

a positive social impact and ensuring robust corporate governance

ronment and sustainability

across the Group,” says

are priorities. Setting up a

Dumitru of BAT. She adds

sustainability department

that last year, more than

within the agency, through

18.3 million adult consum-

which Oxygen provides

ers worldwide chose BAT’s

the corporate sector with

non-combustible products

strategic consultancy and

(4.8 million more than in

communication on sustain-

the previous year), which

ability, has been a major

is a major step forward in

step in this direction. This

supporting tobacco harm

move is part of Oxygen’s

reduction policies, a transi-

commitment to fight

tion towards reduced risk

against climate change and

alternatives (based on the

support companies in tak-

weight of evidence and as-

ing steps towards creating

suming a complete switch

a business environment

from cigarette smoking;

that is more focused on

these products are not

sustainable develop-

risk-free and are addic-

ment. “We feel that it’s no

tive). Also, the highlights

longer enough to talk about

of BAT`s environmental

sustainability. We operate

progress include a 42.7

in an industry that has the

percent reduction in Scope

power to change society.

1 and 2 CO2 emissions

But for this to happen, we

in 2021 versus the 2017

need to act and contribute

baseline and 64.4 percent

to systemic changes both

of renewable electricity

for ourselves and for our

sourced for its operations

clients and partners,” says

sites.

Irina Manole, Head of

As for the Coca-Cola

Sustainability and CSR at Oxygen, who will coordinate the agency’s

System in Romania, Nita says that its sustainability approach

new sustainability department. Both the agency and its 70 employ-

remains consistent: the company remains connected to its strategic

14 COVER STORY

priorities: A World Without Waste, leadership for water, actions to reduce emissions and fight against climate change, reducing the

www.business-review.eu Business Review | July-August 2022

“The pressure of climate change is growing, so authorities will be putting even more pressure on companies to integrate ESG factors

sugar content of its beverages while

into their business agendas,” says the

providing options across its portfolio,

CEO of Garanti BBVA.

supporting its people and communi-

Along the same lines, Dumitru of

ties. “However, if we were to speak

BAT says that advancing on the sus-

about changes, we believe that the way

tainability path requires a multi-stake-

we communicate about sustainability

holder approach, and it’s crucial to

has changed in the last few years. Our

have a concerted effort from corporate

brands have integrated messages and

actors, public stakeholders who are

calls to action to the general audience.

responsible for a balanced and efficient

Also, corporate communication is

regulatory framework, the media, civil

mainly about sustainability, and we are

society, and individuals. “Investors can

trying to make our messages as simple

do it best by backing companies that

as possible for our audiences and get

can make a difference, those that are

them engaged with our initiatives,” Nita concludes. Barosso of Bergenbier says that in recent years, the company has adopted a clear focus on sustainability. “Through our actions aimed

committed to transforming the industry and operating to the highest standards. Our stretching targets in harm reduction and ESG are a marker of our commitment,” says Dumitru. Barroso of Bergenbier thinks that the local CSR market will

at protecting the resources we use,

grow in the near future as the circular

we contribute to the preservation of

economy becomes a must-have for

a sustainable environment. In recent

companies.

years, we have continuously stream-

In terms of the development of the

lined the consumption of utilities and

local CSR market, Zizzi says that we

we have managed to increase the share

are currently witnessing significant

of recovered waste by focusing on

changes on each and every level, from

cutting carbon emissions.” In addition,

the political, social, and economic

the company has implemented a water

points of view. In this global context,

management system in its factory

Romania will be forced to initiate

which allows used water to be treated

strong reforms to comply with EU

and to re-enter a new circuit, thus

requirements. “Companies are acting

improving the efficiency of water con-

on CSR initiatives and ESG projects as

sumption. Last but not least, Bergen-

well as on implementing sustainable

bier has promoted responsible alcohol

development goals (SDG), and all of

consumption through campaigns that have generated a positive impact in its communities, and it has also implemented "Cool down and reforest!," one of the largest reforestation projects, which was initiated 5 years ago.

these must be part of the economic recovery,” he says. CSR is a type of business self-regulation, in the name of social accountability and making a positive impact on society, including—but not limited to—being environmentally friendly and eco-conscious, promoting

IS THE FUTURE LOOKING BRIGHT?

equality, diversity, and inclusion in the

“We hope to see closer collaboration

workplace, giving back to the commu-

between the private sector, authori-

nity and ensuring business decisions

ties, and NGOs and a greater openness

are ethical. “Redefining CSR in order

among companies for non-financial re-

to fully incorporate ESG objectives and

porting. We also want to see relevance

gradual SDG implementation is the

and impact in sustainability initiatives,

natural step forward for companies

as companies should correctly identify

that want to differentiate themselves

social and environmental issues that

on the market, to contribute efficiently

are specific to their business sector, and

to the circular economy, and to have

act based on the 2030 Sustainable De-

a strong long-term business strategy

velopment Goals Agenda,” Tiftikcioğlu

that goes beyond profitability, growth

states, adding that the future is full of legislative and operational

rate, and brand recognition. In fact, building a circular economy is a

challenges that we all need to address.

corporate social responsibility,” Zizzi of Dentons concludes.

www.business-review.eu Business Review | July-August 2022

•

rPET portfolio: In 2020, the Coca-Cola System started bottling the Dorna natural mineral waters in rPET¬—100 percent recycled PET. In a year of consumers choosing Dorna, 5,000 tonnes of new plastic are no longer produced, the equivalent of the weight of 400 trucks

COVER STORY 15

OPINION: Roxana Ionescu, Partner & Co-ordinator of the Environmental Rights and Data Protection practices at NNDKP

or 70 planes. Since 2021, 20 percent of the Coca-Cola System’s beverage portfolio has been bottled in rPET. •

Keel Clip: (April 2021) Implemented in the System’s Timisoara plant, the new technology received an investment of EUR 2 million and through it, the amount of plastic in foils is reduced by approximately 200 tonnes per year. It also reduces the amount of energy used during production by 15 percent.

•

Garla Mare-Vrata ecological restoration. For over 8 years, WWF-CEE and The Coca-Cola Foundation have been engaged in the Living Danube Partnership, whose vision is to restore wetlands and floodplains along the Danube and its tributaries. The programme is carried out in 6 countries, including Romania, where over 400 hectares of floodplain located between the Garla Mare and Vrata localities (Mehedinti county) were recently returned to nature, following reconstruction works that reconnected the ponds on the Danube bank with the river.

•

Today for a Tomorrow Without Waste. Launched in 2019 by the CSR Nest Association and funded by the Coca-Cola Foundation, Today for Tomorrow is a platform that aims to encourage the circular economy, with a focus on recycling. Currently, the platform's initiatives are aimed at bringing together all relevant actors who need to collaborate in order to implement the selective waste collection system in Romania, enabling individuals and legal entities to create partnerships with local authorities and waste collectors. So far, the platform has supported schools, hospitality operators, and citizens in implementing separate collection systems. The platform has also issued a guide on selective waste collection.

•

Sustainable Futures. A project developed by Social Innovation Solutions, supported by The Coca-Cola Foundation and co-organised alongside Global Shapers Bucharest Hub. The project aims to raise understanding and awareness of the importance of sustainable business-making and the circular economy as key drivers of future progress in Romania, while also providing concrete solutions for implementation.

•

After us, it’s on us to collect: partnerships with customers for selective collection. “EcoBon” – a pilot project developed in Brasov, in 3 Penny stores, resulted in 14,000 PET bottles collected; in the four months over which the “Pet-Collect” campaign was rolled out, more than 1,500 Romanians brought a total of 86,325 PET plastic packaging in the collection spaces placed in Auchan stores throughout the country; “Pay with a PET,” the partnership with Carrefour, was also very successful, with over 15,000 participants and 291,000 PET bottles collected.

•

I’m Working Again (Lucrez din Nou). Launched in December 2020 by the Social Incubator Association, in partnership with Coca-Cola HBC Romania, the Working Again (Lucrez din nou) programme is the first online professional retraining platform that aims to help those who have lost their jobs in the difficult context created by the covid-19 pandemic. The platform offers a diverse range of tools, such as vocational counseling, career tests, video trainings, and resources for those who want to improve their resume—all free of charge. By 2021, over 560 people had found new jobs, over 7,300 platform users were registered with an account on the platform (enjoying the open resources), 200 users were receiving counseling and training, and the platform had 151,000 unique visitors.

The recent developments on the ESG side of the local business community are welcomed and we believe that creating ESG departments, developing ESG strategies, and communicating results will greatly contribute to the well-being of companies that choose to make this transition. Indeed, we have noticed active efforts from the local business community to adapt to market requirements and restructure their strategies in order to develop frameworks that are suitable for sustainable growth. However, we believe there is still a lot of room for improvement in terms of the coordination between the internal teams developing ESG strategies and the compliance and legal teams in charge of implementing such strategies, as there will always be an overlap between a company’s ESG-related objectives and the legal requirements it must comply with in order to achieve these objectives. Having synergy within their teams would allow companies to better anticipate what needs to be done and better adapt their programmes, including ESG programmes, to obtain better results in a more efficient manner. In recent years, ESG has been taking center stage in business conversations due to the multitude of challenges our society is facing right now: climate change, increasing inequality, energy shortages, human rights, and privacy concerns. Addressing all these issues requires a holistic approach. Due to the increased pressure to transition from a linear economy to a circular one in order to better utilise available resources, the environmental element is first on the list for executives trying to integrate ESG principles into their business strategies. Achieving carbon neutrality is one of the main concerns of the local business market, due to its complex nature and the need for congruent actions and sustained efforts. Nevertheless, we can see the social element catching up, considering the fact that the client management facet of ESG, which includes data privacy, has a direct impact on the way a company is perceived on the market. In addition, the governance aspect needs to be adjusted to ensure a proper and active management of the environmental and social elements of a company’s programmes, as the corporate element has an umbrella effect on any ESG initiative.

www.business-review.eu Business Review | July-August 2022

16 COVER STORY

Acting now for a carbon neutral future Eric Stab, CEO at ENGIE Romania, sat down with Business Review to discuss the company’s focus on sustainable development and share his thoughts about what the private sector should do to help create a more sustainable local economy. By Anda Sebesi What are the building blocks of your sustainability strategy and how do they translate into the projects you implement?

Gobain Romania to build the largest

Our sustainability strategy has four

industrial site in Calarasi and avoid

main topics at its core: ethics, people,

generating more than 2,400 tonnes of

the decarbonisation of ENGIE’s and its

CO2 per year. On the other hand, we

clients’ activities, and providing much-

provide our B2C customers with green

needed aid to communities. I believe

electricity solutions—by contracting it

everyone can relate to the importance

from our own renewables portfolio or

of business ethics and zero tolerance

having them produce it themselves via

for any incidents; it is why we have

photovoltaic panels—as well as green

enforced this approach across all of our

mobility solutions.

onsite photovoltaic system in Romania, which will provide around 20 percent of the energy needed by their

processes. As for people, we support our colleagues by creating a strong gender diversity programmes, fostering

What should the private sector do to support the sustainable development of the local economy?

the development of their skills, and

I think each business should set an

paving the way for the next generations

example by reducing its own carbon

who will be interested in pursuing ca-

footprint. Second, I believe in educa-

reers in our sector. Recently, our efforts

tion and in the impact of encouraging

have been recognised: we are the only

both our employees and customers to

health and safety culture, focusing on

company in the energy sector to have

embrace a more sustainable lifestyle,

received the EDGE certification for our commitment to workforce

by using green energy, switching to green mobility solutions, and

gender diversity, with 43 percent of all our managers being women.

paying much more attention to energy efficiency. Of course, our

Additionally, our dual education professional programme has been

partners, suppliers, and subcontractors also play an important role

named the best in the country and we have successfully managed to

and we are committed to increasing the share of partners who have

hire all the students who have enrolled so far. In terms of the help

high sustainability ratings.

we’ve provided to communities, we are happy to have improved the lives of more than half a million people through numerous projects

What are the main projects your company developed last year?

in the field of environmental protection, energy efficiency, educa-

There were many projects that made us very proud last year. I will

tion, and healthcare. In doing all this, we always have in mind the

mention one that can be seen as a best practice, especially in this dy-

essence of our business strategy: reaching carbon neutrality by 2045

namic and volatile energy context: turning SOS Children’s Village—

by decarbonising our activities and providing secure energy which

an NGO that takes care of 400 disadvantaged children—into the

is consumed more efficiently, accessible for as many people as pos-

first energy-efficient community that also produces its own green

sible, and respectful of both society and the environment.

energy. Through a multi-annual programme, in partnership with Habitat for Humanity, we installed solar panels on the rooftops of

How has your business strategy adjusted since you’ve decided to develop a more sustainable business?

the 15 social homes in Bucharest, and they produce green energy for

As a leader in low-carbon energy solutions, we set the stage by

homes between 2014 and 2016, we are now in the process of rehabili-

accelerating the transition towards a carbon-neutral economy.

tating two more buildings that will be transformed into educational

Here in Romania, we offer our B2B and B2C customers solutions

and therapy spaces. Overall, so far, the association has saved more

for decentralised energy production, energy efficiency, and green

than EUR 150,000 on its energy bills and redirected the funds to care

mobility. For instance, this year we signed a partnership with Saint-

programmes.

self-consumption. Furthermore, after having rehabilitated these 15

www.business-review.eu Business Review | July-August 2022

COVER STORY 17

Sustainable financial products for a greener tomorrow Mustafa Tiftikcioglu, CEO at Garanti BBVA, told Business Review about the lender’s strategy to contribute to the achievement of Romania’s Sustainable Development Goals (SDGs) and the ways in which it aims to encourage Romanians to make sustainable life choices. By Anda Sebesi What are the building blocks of your sustainability strategy and how do they translate into the projects you implement?

neurship, access to financial edu-

First, we must acknowledge the

mania, through which we support

fact that sustainability is essential

the WWF’s nature preservation

for each organisation and that it

policy, is an example of this long-

is no longer optional for compa-

term commitment dating back to

nies. It is a principle that must be

2010, when we launched the WWF

applied across our daily activities.

Bonus Card, the first eco-branded

At Garanti BBVA Romania, we

credit card in Romania.

cation tools, and other initiatives with an impact on the community. Our partnership with WWF Ro-

In the coming years, we will

strongly believe that operating

continue to focus on adding new

sustainably is going to be a key

sustainable financial products,

driver of the bank's long-term success and we have already started developing our capacity to fight

both to the bank’s portfolio as well as to the product ranges offered

against climate change and support the growing relevance of social

by Garanti BBVA Consumer Finance and Garanti BBVA Leasing.

inclusion. A few years ago, our organisation decided that sustainability would be one of our five strategic priorities, in line with the role we have taken on as a major contributor to inclusive and environ-

What should the private sector do to support the sustainable development of the local economy?

mentally caring economic and social development.

In recent years, we have seen leaders of public and private organisa-

It is essential to note that as a bank, we act as a financier of a

tions in every sector beginning to assign more importance to sus-

greener economy. We also share our knowledge, foster coopera-

tainability. Companies are thus more concerned with making sure

tion with external stakeholders, and use our influence in society to

that their operations respond to the needs of the present without

increase awareness and achieve results in promoting sustainable

compromising the ability of future generations to meet their own

development. To become a more sustainable group, we have taken a

needs. And in turn, banks have aligned themselves with this joint

few measures at the company level, encouraging all our employees

effort and are now placing sustainability and environmental protec-

to join our efforts. At the same time, we have expanded our offer by

tion among their top priorities.

adding financial products that contribute to the protection of the environment. Garanti BBVA Romania's message is that each person has a moral

What are the main projects your company developed last year? In 2021, Garanti BBVA Consumer Finance launched the Green Credit,

obligation towards others and future generations and they must be

a product for individual customers who want to make sustainable

aware that while their healthy and sustainable choices may repre-

purchases. By launching the green loan, we want to contribute to the

sent small steps, they positively impact future generations.

achievement of Romania’s Sustainable Development Goals (SDGs) and encourage Romanians to make sustainable life choices. Earlier this year, in collaboration with the Romania Green Build-

How has your business strategy adjusted since you’ve decided to develop a more sustainable business?

ing Council (RoGBC), Garanti BBVA launched the innovative finan-

In recent years, Garanti BBVA has developed a multi-directional

cial product called Eco House, a green loan granted to individuals for

social responsibility strategy at the group level, aiming to contribute

the acquisition of green residential units which are certified as such

to society's welfare.

by RoGBC. At the same time, Garanti BBVA became a Platinum mem-

In its more than 20 years of operating on the local market, the

ber of the RoGBC. The collaboration between the two organisations

bank has mainly invested in projects that have encouraged the pro-

aims to promote the financing of sustainable housing acquisitions by

tection of natural habitats, the development of Romanian entrepre-

offering green mortgage solutions to individual customers.

www.business-review.eu Business Review | July-August 2022

18 M&A

Romania’s M&A market may see double-digit decline in 2022 The Romanian M&A market experienced stable growth last year, and 2022 began with a lot of optimism. Global signs indicate a decreased Romanian transaction market where entrepreneurs are involved. This possible doubledigit will change some of the expectations regarding M&A for both buyers and sellers. The evolution of the private equity (PE) model has turned it into an engine for M&A

By Claudiu Vrinceanu

he value of the global M&A market

equity (PE) model has turned it into an engine

ing M&A investment. It accounted for over

fell by 20 percent to USD 2 trillion

for M&A, providing an abundant source of

one quarter deal volume and one third of

in the first half of 2022 compared to

deal-making capital. Global PE "dry powder"

deal value in the first half of 2022. Business

the same period in 2021, and it is likely to

reached a record USD 2.3 trillion in June

consultants expect technology demand to

drop further as economic repercussions are

2022—triple the amount seen at the start of

create M&A opportunities in software and

reflected on global markets, according to

the global financial crisis. This capital growth

infrastructure-enabling technologies in the

PwC. The trend can also be observed on the

explains why PE's share of M&A has increased

second half of 2022. Publicis Groupe bought

Romanian market following an outstanding

from approximately one third of total deal

Tremend, one of the fastest-growing Roma-

year: the Romanian mergers and acquisitions

value five years ago to almost half of the total

nian software companies, employing 650

market reached a record level in 2021 in terms

deal value today. As for investment funds

engineers. Another transaction was signed

of the number of transactions, with a total of

in Romania, we’ve seen three major trends:

by Arobs, who took over the business line

137, according to Deloitte Romania.

exits made by private equity funds, several

and the software development services team

transactions concluded by funds, and several

from Enea AB in Sweden. In the meantime,

down M&A activity in the first half of 2022

acquisitions completed by companies with

we have also seen new mergers. For example,

after the record pace of 2021. However, deals

investment funds. One relevant transaction

software and mobile application compa-

will continue to play an important role in

was the agreement signed by Resource Part-

nies Essensys Software and mReady have

companies' growth strategies. With inflation

ners for the sale of its holding in World Class

completed a merger process and with the aim

in many countries at its highest level in 40

Romania to African Industries Group. SARMIS

of building one of the most globally-relevant

years, both buyers and sellers involved in

Capital, a private equity fund dedicated to Ro-

Romanian technology companies.

deals will need to approach the due diligence

mania and neighbouring countries, acquired

process using various inflation scenarios and,

the majority stake in Smart ID Dynamics,

more than ever, taking into account the impli-

aiming to further consolidate the company's

CONSUMER MARKETS AND HEALTH INDUSTRIES

cations on market shares in relevant markets,

market position and help it expand inter-

M&A activity in the consumer markets in-

pricing, relationships with key customers and

nationally. ROCA Industry bought Dial, a

dustry for the next six months will be closely

suppliers, and key employees' remuneration

company specialising in manufacturing wire

tied to how the uncertain economic outlook

and security," said Cornelia Bumbacea, Deals

products, from businessman Vasile Rosu. The

affects consumer confidence and spending.

Partner at PwC Romania.

transaction had a value of EUR 14 million.

High demand for biotech and innovative new

"The uncertain economic outlook slowed

The adoption of new technologies remains

technologies such as mRNA, gene therapy,

M&A TRENDS IN THE FIRST HALF OF 2022

a priority and keeps technology, media, and

and telehealth capabilities are also attracting

According to PwC, the evolution of the private

telecommunications (TMT) on top regard-

investor interest.

www.business-review.eu Business Review | July-August 2022

20 FDI

Romania’s FDI position gains prominence despite regional challenges Romania continued to attract foreign investments to the tune of EUR 3.1 billion in the first four months of this year versus the same period of last year, but the ongoing war in Ukraine and its risk of escalation could impact the local economy’s FDI position. The country is building on the significant performance of last year, when the volume of foreign investment more than doubled to reach EUR 7.2 billion. By Ovidiu Posirca choices for neither American nor Western European investors, due to its potential exposure to the Ukraine conflict,” Tata tells BR. He adds that “safer” alternatives in similar cost brackets within the EU include Portugal, Greece, Croatia or Bulgaria. Countries in the Western Balkans can also meet the demand, although they are not EU members yet. For telemigration, Romania remains a strong hub with ICT-enabled and BPO-based sectors. As a member of the European Union (EU) and NATO, Romania's profile as a safe destination for foreign investors has consolidated over the past decades, but it might still not be enough in the competition for capital. Ionut Simion, president of AmCham Romania, suggested that the country’s objectives should be to join the Organisation for Economic Co-operation and Development Romania could enhance its supply chain routes to attract more investment

(OECD) and use the EUR 30 billion available through the National Recovery and

here’s still a hot war taking place near

Ionut Tata, the CEO of the Iceberg Plus

Romania’s border, and this could trig-

consultancy, suggests that long-term FDI

2022, but there is no deadline for the comple-

ger the postponement of some invest-

strategies will be very much divided between

tion of the accession process. Meanwhile,

ment decisions. Companies are still recover-

alternate pathways including near-shoring,

PNRR funds could help Romania improve

ing from the pandemic crisis and they are

friend-shoring, and telemigration.

its renewable energy capacities and ac-

now facing a different set of risks stemming from the geopolitical context. “Companies want to invest in Romania;

Resilience Plan (PNRR). Romania kicked off

“Some companies will choose to nearshore capacities that they would previously operate

negotiations for OECD membership in early

celerate its digital transformation and investments in education. According to Ionut Sas, first vice president of AmCham

half of respondents say that their planned

overseas, gambling on the

investments for this year are similar to last

potential of automation

year’s levels, and 40 percent of respondents

and AI to reduce labour

could enhance its supply

say they plan to invest larger amounts com-

expenditures and re-

chain routes to attract

pared to the previous period,” says Cristian

main competitive from

Secosan, president of the Foreign Investors’

a cost perspective. Oth-

Council (FIC), quoting the results of a busi-

ers will go on the friend

ness sentiment index published at the end of

shoring path, but Romania

March.

might not be among the first

Romania, the country

more investment. In May-June, AmCham conducted a survey among 168 of its member companies which showed that

www.business-review.eu Business Review | July-August May 2016 2022

COVER STORY FDI 21 14

the rising inflation is the biggest risk for

to provide competitive support for FDIs in

may also be subject to examination and au-

Romania’s economy. Next are the increase in

key sectors, through other governmental or

thorisation if, by their nature, they can have a

energy prices and the war in Ukraine. Rising

EU programmes, such as the Just Transition

significant impact on security or public order

financing costs are also mentioned by nearly

Fund. Beyond that, the leanest way to attract

or present significant risks to them,” Loredana Popescu, partner at law firm Popescu & Asociatii, tells BR. The screening is part of an EU-wide effort to check the capital sources and ownership structure of foreign investors who want to do business in Europe. Approval from the CEISD shall be issued within a maximum of 60 days from the date on which a notification is declared complete. “Violating the obligation to notify the implementation of a foreign direct investment or the

half the companies surveyed, of which 43

foreign investment

percent are large taxpayers.

would be to establish a

“Against the backdrop of geopolitical

friendly framework for

events, but also as a consequence of the

companies engaging

vulnerabilities revealed by the pandemic,

in telemigration, thus

investor interest in Romania has increased,

opening branches, and

and it is an opportunity to position ourselves

employing staff under

as a safe and attractive destination for inves-

a decentralised model,

tors,” Sas argues. Attracting new investments

with local hub-type

through friend shoring will see Romania

offices or even remote

working more closely with allies, including

work at the core of op-

the US and EU members, to increase produc-

erations,” Tata adds.

tion of critical goods and reduce reliance on imports from China or Russia. However, public statements from local decision-makers

NON-EU INVESTORS UNDER HIGHER SCRUTINY IN ROMANIA

provision of inaccurate, incomplete or mis-

on such a strategy have been rather limited

Investors outside the EU that are planning

leading information, as well as non-compli-

until now. The Iceberg Plus CEO suggests that Romania could have played a better card in its friend shoring strate-

to allocate at least EUR 2 million for projects in Romania would have to be screened by the Com-

ant or commitment-breaching enforcement constitutes a contravention that shall be sanctioned by the Competition Council with

mission for the Examina-

a fine of up to 10 percent of the total global

gies if it had allocated

tion of Foreign Direct

turnover of the financial year preceding the

a larger amount of the

Investment (CEISD)

sanction,” Popescu adds. Meanwhile, the FIC

funds from its PNRR to

and obtain approval for

president points out that Romanian authori-

the implementation of

ties should implement a high value-added

support private investments by both large

the investment. “Excep-

investment policy with a multiplier effect on

corporates and local SMEs

tionally, foreign direct

all sectors of the economy, while also estab-

in key value chains. “Still,

investments not exceeding

lishing the strategic sectors for investments

there is some potential left

the threshold of EUR 2 million

in a bid to boost FDI volumes.

www.business-review.eu Business Review | July-August 2022

22 ENTREPRENEURSHIP

Meetgeek.ai founders: We want to build the future of meetings After securing EUR 500,000 in fresh funding, Romanian startup Meetgeek.ai is looking to meet the growing demand from EU and US companies that want to streamline their meetings. BR spoke to the founding team—Iulian Gheorghe, Raluca Risnoveanu, and Dan Huru—about technology’s power to replace inefficient meetings and the skills Romanian startup founders need to expand abroad. By Ovidiu Posirca

Left to right: Iulian Gheorghe, Raluca Risnoveanu and Dan Huru

What is the founding story of Meetgeek. ai and what were some of the biggest challenges you’ve faced so far?

year. I got two years of meetings! That’s why

learn to say no and drastically prioritise what

we decided to team up and do something

to focus on.

about it.

A couple of years later, we are excited to

In our previous software engineering roles,

Finding the right customer personas and

see that we are making a daily impact, freeing

we were involved in many software projects

shaping the product accordingly is the biggest

up calendars, and making meetings more ef-

that had the purpose of automating task

challenge tech startups face, and this was

ficient with Meetgeek.

execution. Over time, we noticed that while

the case for us, too. We talked to over 1,000+

there was immense pressure on automating

potential customers and worked with many

tasks, meetings were still inefficient, free to

companies, in multiple iterations, to find the

book, and very time-consuming for the busi-

right mix. Another big challenge, due to our

What is the market potential for your platform and how is demand shaping up from a geographical perspective?

ness.

engineering background, was shifting from

We are now available on all 3 major platforms,

a product-first mindset to customer-focused

including Zoom, Google Meet, and Microsoft

thinking. Additionally, we had to quickly

Teams, and we’re excited to see that we are

I once exported my calendar and counted the hours of meetings I had to attend in one

www.business-review.eu Business Review | July-August 2022

ENTREPRENEURSHIP 23

already impacting the daily activity of hun-

improving productivity, knowledge sharing,

new hires. Teams can already choose be-

dreds of businesses in the US and the EU.

and freeing up calendars.

tween a classic or a more transparent meeting

We are seeing a very hungry market,

We generally work with digital-friendly

culture, decide which meeting performance

which is ready to be educated and looking for

companies with a hybrid work culture or with

indicators to measure, what information is

solutions to streamline meetings. Demand is

distributed teams. The industry is not always

shared automatically, and much more.

there and we need to be able to respond to it

a criterion, but we generally work better with

with the right team.

less data-sensitive industries.

What kind of professionals are mostly interested in using Meetgeek.ai? And are you relying on their feedback for future developments?

How will you use the EUR 500,000 in fresh funding?

sion a not-too-distant future where advanced

We want to build the future of meetings, so

ing and are redefining the way we interact

this round unlocks our ability to advance

and exchange information.

Teams use Meetgeek for customer discov-

our company and technology. The round is

ery calls or customer meetings and sharing

a follow-on from our previous investors and

customer feedback or requirements with

several new private investors. We are actively

Which parts of Romania’s startup ecosystem do you feel could be improved?

the team. It is also deployed for high-quality

hiring to market the product in the US and EU

It is important that the ecosystem of angel

conversations and getting peer feedback on

markets and improve the technology.

investors & VCs continues to grow, enabling

We are now in a phase where this technology is proving useful in specific departments of various organisations. However, we envi-

hiring interviews as well as for coaching and onboarding staff. Important internal meetings are also supported by our platform.

meeting assistants are present in every meet-

more founders to gain access to capital and

What is the future of business meetings from your perspective? How will technol-

start successful companies. Moreover, existing successful entrepreneurs should get more

Feedback loops are among the key ingredients we use to improve the platform. The team talks to customers daily. We are soon going to launch a community of super users so that our customers can partner with us in developing Meetgeek and identifying the best ways to use the technology.

How much have you invested in the startup so far and are you looking to expand your team? With our first pre-seed round of EUR 150,000 in 2021, we made significant investments in product development and customer discovery, working closely with hundreds of companies using Meetgeek daily and speaking to many more in the process. Going forward, we have no intention of

ogy continue to streamline this process?

involved in the ecosystem, to inspire the right

slowing down. We are actively hiring digital

Our long-term vision is to redefine the meet-

mindset and work ethics among new found-

marketers, business developers, customer

ing culture across organisations. We’re seeing

ers. For example, we need to learn how to

success, and software engineers to further

two major trends in this space, which we are

market and sell a product and how to become

improve our platform, accelerate our growth,

capturing with our software.

customer-oriented, in addition to what we

and achieve our vision to help businesses streamline their meetings.

First, we believe meetings will become a

are already doing well: building software. We

vital part of the company's automation pipe-

believe this skill needs to be on the top of the

line. RPA or regular business workflows are

agenda for local entrepreneurs and techni-

How are companies using your product and which industries stand out in your portfolio?

already being triggered automatically or by

cal folks who want to build successful global

using voice commands from within the meet-

businesses.

Companies use Meetgeek to automatically

are being saved using the right tools and

capture highlights and insights from calls,

distributed to individuals automatically.

grow sales revenue, and recruit better talent.

ing itself. Notes, tasks or meeting conclusions

By using this type of software, companies

Are you looking to secure new funding rounds in 2023? We are looking to raise another round in mid-

Integrations with Slack, Google or Hubspot

will be able to define their meeting culture,

2023 to scale up the business and become a

help teams redefine their meeting culture,

apply their own style, and use it to attract

dominant player on the market.

www.business-review.eu Business Review | July-August 2022

24 ADVERTISING

Life at an advertising agency in 2022 Minio Studio has launched Creative Chaos, a short “how it’s made” documentary that follows the stages of building an ad campaign, from briefing to evaluation. The project featured all parties involved in a campaign: the creative agency, the client, the media agency, the director, freelancers, and influencers. By Romanita Oprea getting results through hard work and careful planning on multiple layers, from strategy and AV production to media and trade marketing. “This feels very personal. I have seen it as a mix of vulnerability and professionalism. Life in advertising is full of adventures, stress, and difficult interactions. But it also means working alongside amazing people, being creative, finding strategic solutions on the spot and, in the end, enjoying the results. No matter how disciplined we are, there are always new situations that require us to adapt. And one can see this in Creative Chaos, which represents us so well because we are a team of creative problem solvers,” said Ioana Mucenic, the CEO of Minio Studio. But how did the idea of Creative Chaos come to life? According to Minio Studio representatives, it was all about standing up and owning what they did and how they did it. We live in an era in which we want brands and corporate businesses to be open, transparent, brave, and vulnerable. However, in the adverCreative Chaos is the first project of its kind on the local market

tising world, agencies are rarely like this. We all want our image to be very polished, and look as perfect as possible. “We decided that we wanted to be more

he video documentary shows the

workflow, but they also incorporate clients

workflow in its real form: a creative

and partners, from freelancers to media and

authentic, show more of ourselves, our

chaos with a lot of stress, often mov-

talent. There are no actors in this project; just

people, as well as our processes, our ways of

ing at a very fast pace, going through multiple

regular people that played an active role in

thinking, and our mistakes. It’s a lot of hard

feedback rounds, but also finding success,

the campaign’s development—which makes

work to conceive and implement a campaign,

valuable collaborations, and plenty of know-

this initiative even more outstanding though

while also considering the human side of

how. The narrative follows the campaign

its honesty and vulnerability.

it—people being tired, people losing focus.

dynamic, showing individual worries and

Creative Chaos is the first project of its

This is normal in any project and it’s very

anxieties as well as professional knowledge

kind on the local market. Though this produc-

important how we manage this. So, for us,

about handling a large project, with many

tion, Minio Studio aims to show that adver-

Creative Chaos is a manifesto for authenticity,

layers and plenty of people involved. The

tising is not just about brainstorming and

vulnerability, and transparency. It shows the

videos focus on Minio Studio’s internal

cool creative ideas. Advertising is also about

human side of advertising and also something

www.business-review.eu Business Review | July-August May 2016 2022

COVER ADVERTISING STORY 25 14

of a unicorn: a truly excellent relationship

passionate about their jobs, thirsty and eager

attitude and vision, that can help an em-

between an agency and its clients,” Ioana

to learn more, people who are nice—but not

ployee integrate and adapt to the specifics of

Mucenic explained.

in the sense of not being competitive. If I had

advertising work. “I would therefore say that

to make a comparison, I’d say they should

an ideal Publicis Groupe Romania employee is

process of how the team conceives, plans,

be competitive like the Chicago Bulls in their

curious, passionate about what they do, a life-

and implements a real project. All the facts

early glory days as opposed to the aggres-

long learner, authentic and, of course, has the

are real, the people are real, the clients speak

sive performers of the Detroit Pistons,” said

right dose of ownership and autonomy. All

their mind. There is nothing fake about it.

Andreea Ghenoiu, creative partner at Jam

these things contribute to daily activity, from

In the first series, the agency showed an

Session, one of the most awarded indepen-

relationships with clients and colleagues to

awarded campaign created for Mondelez and

dent Romanian agencies. “At first glance, the

understanding the target audience or finding

Macromex—Snackology. And they want to

people of Jam don’t have much in common,

that big idea that everyone dreams about.”

sumers. Empathy, enthusiasm, and creativ-

as there’s a gap of over 20 years between the

STILL A SOUGHT-AFTER INDUSTRY?

ity— it’s a combo they all share. “We believe in

youngest and the oldest, we have introverts,

For a long, long time, advertising was con-

being what we call a ‘happy agency.’ We want

extroverts, people with different views about

sidered to be one of the sexiest and most

to feel good at work, as much as possible, and

life, different hobbies or tastes in music. But

attractive industries to work in, especially

that means being part of a great team, reduc-

the thing that keeps us together is basic: we

in Romania, with people leaving important

ing unnecessary pressure, no bureaucracy, no

all have a passion for creative ideas which

business fields such as architecture, engineer-

politics, no complex hierarchy, time for work

translates into co-creation, having a voice,

ing or design to come work in marcomm. The

and time for life. We believe that a job should

fighting for ideas over and over, being inde-

awards, the parties, the salaries, the travel,

provide the context for a person to flourish,

pendent and able to adapt to change, and

the glam and fame were all great incentives

not to end up stressed and in need of a holi-

being a partner for our clients. It does not

for a while. What’s it like today, though? “I

day. We are striving to do all this; sometimes

matter if you are an account manager, a plan-

think that even after all this time, I can say

we succeed, sometimes we fail. But this is the

ner or a creative person,” added Ghenoiu’s

that it is still sexy. And this is determined by

vision, and our colleagues are the ones who

colleague, Ioana Cadir, co-managing partner

the very nature of the people in this indus-

make it all possible.”

at Jam Session Agency. Anca Catarambol,

try and the job typology. You get the rare

chief talent officer at Publicis Groupe Roma-

opportunity to work alongside extremely

AGENCIES’ EXPECTATIONS

nia, also doesn't believe in typologies and in

creative people on projects that are totally

But what do other agencies expect of their

placing a person in one category or another.

unique. Diversity is what defines every work-

employees? “We can’t say that a Jam col-

For this reason, she also does not believe that

ing day, whether you spend it at the office, at

league should be a certain way. What I can say

there is one candidate or employee who’s

the client’s, at a great product launch or on a

is that years ago I heard the Creative Director

more desirable than another—on the contrary,

set. And the most important thing is that we

of Happiness saying something that stuck into

she thinks that each of us has something to

don't just work together; above all, we have

my mind: “I am always looking for good and

offer, whether it’s an idea, a vision, experi-

fun together. We don’t have the rigidity and

good people: good talent and good charac-

ence, knowledge, and so on. However, there

constraints of other industries. Without exag-

ter.” This is how we recruit. People who are

are certain things, perhaps having to do with

geration, I can say that having the initiative

Creative Chaos also wants to show the real

continue with more series, more campaigns being presented step by step, from behind the scenes. It’s a way of showing that Minio Studio is a modern agency that talks the talk and walks the walk. “We go all in when we set a direction, we love our work, and we are not ashamed of saying that we are not perfect, as long as we keep improving. We have a very open culture; people are allowed to make mistakes if they learn from them, we are collaborative, we feel free to speak up,” Mucenic added. The agency values empathy because it’s a human-centric organisation. It’s important to relate to one another with care and consideration—and this is also true for how they see their clients and con-

www.business-review.eu Business Review | July-August 2022

26 ADVERTISING

For her part, Andreea Ghenoiu said that

to go outside of patterns and explore new

many more. We are finding it more difficult

possibilities is precisely what we encourage,”

to recruit and retain talent nowadays. On the

the Jam Session Agency team has a lot of

said Anca Catarambol.

other hand, agencies have been working in a

young people, so Gen Z is well represented.

pretty similar way for ages. I do believe that

And from what she can tell, it still feels cool

try is still fun and dynamic, a combination

there is plenty of room for improvement, and

for them. But they all have other activities,

of business and creativity. It is an industry

that we could be more agile, more engaging,

which entertain them and provide them with

kilometres away from each other and still

more focused on creation, not just execu-

insights for advertising. If advertising also

work very well together,” said the chief talent

tion,” Ioana Mucenic added.

quenches their thirst for content and if they

For her, the Romanian advertising indus-

with wonderful people who somehow always manage to find that fine line between the seriousness of doing your job well and the right dose of bohemian atmosphere. “Despite its significant development over the last decade, the industry has not moved towards a corporate style, it is not industrialised, and it remains people-focused. At the same time, we at Publicis Groupe Romania also enjoy the benefits of belonging to a multinational group. Therefore, on the one hand, we have a creative and fun working environment, where there is a lot of emphasis on people, and on the other hand, the stability offered by the Groupe, complemented by access to know-how and openness to multicultural experiences, through teams made up of people who can be hundreds or even thousands of

officer of Publicis Groupe Romania.

Moreover, according to the Minio Stu-

can express themselves through it, they feel

dio representative, probably due to the

motivated and give the best of their native

try that sits at the intersection of many fields

market’simitations, the agencies in Romania

digital skills. “And yes, young people are still

(creative, media, marketing, data, etc.), at-

are more solution-driven and more creative.

into Cannes, festivals, having the best work

tracting and combining the best of all of them

However, we have very low budgets com-

on the market, and they are ambitious. I know

in surprising ways.

pared to other countries (not to even mention

about the so-called snowflakes generation,

UK or US), and we still lack bravery and

but what I see in my agency is tremendous

18 years and being used to comparing the old

accountability. . Mucenic is seeing a genera-

grit and a great capacity to rebound in this

with the new, often feeling that “the old” was

tional change, as there are more and more

advertising game.” That’s because we are

better, Ioana Mucenic no longer thinks that

young people in marketing roles. But on one

still living in a country where we must play it

this type of melancholy is necessary. Since

hand, they lack the structure of old school

smart, as budgets are not comparable to those

the explosion of content production, she be-

marketing and branding and the patience

in global hubs. This is what makes the cre-

lieves that advertising is a great place to be in.

to build brands. On the other hand, they are

ative challenge even more interesting. “And I

It brings so many opportunities to be creative,

more open to fresh ideas and more willing to

strongly believe that we have some very juicy

to meet amazing people, to test ideas, to ex-

experiment.

local flavours that not many countries have:

Advertising is—and will remain—an indus-

Having been working in the industry for

plore. And aside from creative opportunities,

“What I’m also noticing is the need for

the industry also offers data and tech jobs, for

strategic thinking: more research, better

those who may be more analytical.

consumer/people understanding, more data-

from music to characters and the nature of our humour,” Andreea Ghenoiu argued. Finally, as Ioana Cadir noted, Jam Session’s

driven decisions, more bravery to take on a

representatives re aware that people’s needs

more exciting. But I don’t think it’s neces-

territory, as well as a long-term perspective.

have changed significantly in recent years

sarily more attractive or more inspiring.

I feel like creativity and strategy are not well

and that the “sexiness” has multiple layers,

And that’s because there are industries and

balanced. There are many clients who prefer

not all of which are related to the creative

roles which are better fitted for the younger

a spark, an idea, a moment of hype, instead of

product. Younger generations are looking for

generations nowadays. There are so many

a solid construction. I do believe that we need

a better balance between their jobs and what

exciting startups in various fields, corpora-

both, but the industry feels to be in a rush for

keeps them motivated and entertained, and

tions where you work at a global scale, the

the next cool thing, for more likes and views,

they’ve discovered how to make a job out of

possibility of becoming a content creator, and

for fast results,” Mucenic concluded.

the things they do for fun.

“I do think that the industry is getting

www.business-review.eu Business Review | July-August 2022

ADVERTORIAL 27

METRO supports the horeca industry by launching 3 original guides

ETRO is a long-standing sup-

tions, but also over 150 accommodation units

neurs in the hospitality industry need to

porter of the businesses in the

and restaurants, all METRO customers from all

create, properly implement and optimize

HoReCa sector and is constantly

over the country.

the strictest control systems (HACCP). The

developing solutions in order to help adver-

This guide comes after the “Venues for

hygiene guide aims to both showcase the

tise and consolidate them, from products

Events” guide that METRO launched in March,

range of cleaning products that profes-

tailored to professional needs, such as the

which promotes more than 200 fabulous venues

sional customers can find on the shelf, while

METRO CHEF own brand, to consultancy,

belonging to its customers, all able to fully ac-

also offering a series of useful information

digital solutions and innovative projects

commodate and organize weddings, baptisms

in order to properly implement HACCP

dedicated to the hospitality industry.

and other private or corporate parties.

standards and practical fact sheets that

This year, METRO aims to help the hospi-

All locations presented in the two guides

METRO customers can download on metro.

tality industry by launching three original

are accompanied by relevant photos and a QR

ro and use at their locations. With a complex

guides, developed by METRO specialists and

code that the readers can scan to get access to

content, validated by the teams of METRO

experts in order to increase the visibility of

all the details about each location. Both guides

experts, the three guides are available for

its customers and to offer them practical

are supported by constant advertising in the

free on www.metro.ro.

help in running their business.

digital media, so that the locations included in

Through the “Romania Travel Guide 2022”, at its second edition, METRO brings to the spotlight the potential of Romanian tourism, presenting over 250 tourist attrac-

For METRO, its customers are first of all

the guide are made known to as many potential

partners. A successful partnership is always

customers as possible.

based on a common vision and constant col-

METRO’s third launch is a “Hygiene Guide”, centralizing the information which entrepre-

laboration. METRO will always come up with initiatives to support the HoReCa industry.

www.business-review.eu Business Review | July-August 2022

28 TECHNOLOGY

Flagship smartphones: cutting-edge camera performance and push for foldable devices TM Roh, the president of Samsung Electronics' MX Business, believes the time has come for foldable phones with screens that are twice the size of current smartphones. But until foldable phones become mainstream, it's worth taking a look at the other innovative features smartphone manufacturers are bringing to devices that have become "classics." By Aurel Constantin some of the best phones in the world, including foldables, the ban has allowed Xiaomi to rise to the top. Moreover, we are seeing new manufacturers, such as Oppo and vivo, also gaining solid market share. The economic crisis and the war in Ukraine have hit the smartphone market. Global shipments fell by 9 percent in the second quarter of the year, compared to the same quarter of 2021, according to Canalys data. “Vendors were forced to review their tactics in Q2 as the outlook for the smartphone market became more cautious,” said Canalys Research Analyst Runar Bjørhovde. “Economic headwinds, sluggish demand, and inventory pileup have resulted in vendors rapidly reassessing their portfolio strategies for the rest of 2022. The oversupplied midrange is an exposed segment for vendors to focus on adjusting new launches, as budgetconstrained consumers shift their device purchases toward the lower end.” “Falling demand is causing great concern for the entire smartphone supply chain,” said The Xpedition vivo X80 Pro launch Berlin

Canalys Analyst Toby Zhu. “While component supplies and cost pressures are easing, a few concerns remain within logistics and

he global telecommunications indus-

globally. Samsung had a market share of 28.2

production, such as some emerging markets’

try is dominated by a small number

percent as of June 2022, while Apple held 27.2

tightening import laws and customs proce-

of giants based in the US, Asia, and

percent, according to Statcounter data. In

dures delaying shipments. In the near term,

Europe. But there is still room for new players

third place is Xiaomi (China), with 13 percent,

vendors will look to accelerate sell-through

who could replace top companies. History

followed by Huawei with 6.1 percent. The

using promotions and offers ahead of new

proves that no matter how big a manufacturer

fifth place is held by Oppo with 5.8 percent,

launches during the holiday season to al-

is, it can completely disappear in just a few

followed by Vivo with 4.3 percent. Two or

leviate the channel’s liquidity pressure. But

years. The best example is Nokia, which was

three years ago, Huawei was fighting for the

in contrast to last year’s pent-up demand,

not able to adapt to the smartphone era and

top spot with Samsung and Apple, but the

consumers’ disposable income has been

was quickly pushed out of the industry.

embargo imposed by the Americans on the

affected by soaring inflation this year. Deep

use of US-made software affected their global

collaboration with channels to monitor the

sales. Despite the fact that Huawei still makes

state of inventory and supply will be vital for

Currently, Samsung (South Korea) is still fighting with Apple (US) for the top spot

www.business-review.eu Business Review | July-August May 2016 2022

COVER TECHNOLOGY STORY 29 14

vendors to identify short-term opportunities

this kind was last month, when vivo present-

low light images very well, especially by using

while maintaining healthy channel partner-

ed its X80 Pro at the Planetarium in Berlin.

HDR to balance out bright lights in otherwise

ships in the long run.”

As the camera was the most important

dark scenes.

part of the device, vivo signed a strategic

Furthermore, all rear lenses have Zeiss

PUSHING CAMERA CAPABILITIES

partnership with Zeiss and tried to bring

branding and benefit from the company’s T

Each manufacturer’s flagship provides a

the quality of a professional camera to its

lens coating, which reduces glare and reflec-

phone. The strategic partnership between vivo and Zeiss has been established for the long term and it is based on the two companies’ ability to understand the needs of consumers in the field of mobile imaging. Both companies want to contribute to the future of smartphone photography, and the R&D department—vivo ZEISS Imaging Laboratory—provides innovations

tions. There are also a few Zeiss photo filters,

preview of the technology that will eventu-

in mobile imaging through advanced optical

including a Zeiss branded cinematic video

ally be used in mid-range phones, the devices

design, including rigorous lens development

mode, which films in a wide cinema-style as-

generating the bulk of sales (over 250 million

and testing, extensive simulation processes to

pect ratio at 24 fps (frames per second) with a

units in the last quarter). And since most in-

ensure excellent performance, and advanced

bokeh effect, to replicate the Hollywood feel.

novations are related to camera capabilities,

algorithms and measurements for optical de-

All the flagships, including the X80 Pro,

vendors are pushing the limits in that area.

sign, all with the aim of reducing distortions,

are using advanced AI capabilities, which is

shadows, and color artifacts and allowing

a way of improving the quality of the lenses

users to capture the perfect frame.

since the optical performance will never be

The Samsung Galaxy S22 range, Google’s Pixel 6, and the iPhone 13 series are all fo-

Vivo’s flagship

as good as that of professional cameras. As

phones earned a

stated during the presentation in Berlin, all

reputation for excel-

manufacturers are trying to find a balance

lent cameras over

between performance, camera, battery, and

the last few years,

design. For all of these to be at their best pos-

culminating with

sible level, you would need to have a phone

2021’s X70 Pro+, one

the size of a brick, which is not a good selling

of the best cam-

point. After using the phone on a daily basis,

era phones on the

we can say that the vivo X80 Pro is an excel-

market. The X80 Pro

lent phone, featuring a stunning display, a

is meant to pick up

good battery life, and one of the best cameras

the performance and

in the industry. Software is where the flagship

it is doing so with

falls behind though, since it is loaded with

a 50Mp main lens,

bloatware. It is a good rival for Samsung’s S22

joined by a 48Mp

or Apple’s iPhone 13, but with a price tag of

ultrawide, 12Mp 2x

over EUR 1,000.

portrait telephoto

Right now, we are waiting to see what the

cused on 5G performance, perfect usability,

lens, and a 8Mp 5x periscope lens. All the

second half of the year brings in terms of

and better cameras. But Xiaomi, Oppo, vivo,

lenses are using the power of the new V1+

innovation from vendors. Samsung is set to

Motorola, and others are doing the same

image processing chip and the main lens has

launch in August, and Apple should stick to

things with their flagships. The last launch of

an Isocell GNV sensor. The X80 Pro handles

its usual September release.

30 REALTY FORUM

www.business-review.eu Business Review | July-August 2022

Realty Forum 2022 – Challenges and opportunities in the real estate industry

www.business-review.eu Business Review | July-August May 2016 2022

REALTY COVERFORUM STORY 31 14

Business Review once again turned the spotlight on Romania’s major real estate players at Realty Forum 2022, an event that provided a glimpse into the plans of the most important developers, investors, builders, and service providers on the office, residential, and logistics markets. Realty Forum also hosted the launch of the 2022 Real Estate Guided Premium edition, celebrating the 21 years over the course of which it has established itself as the voice of the Romanian real estate industry. By Aurel Constantin

he current economic conditions are

lease extensions. We are also continuing our

not ideal, as the pandemic lingers, the

investments in our latest purchase on Calea

war in Ukraine continues, the energy

Victoriei, Bucharest Financial Plaza. This

market is in crisis, and inflation is hitting

property will undergo a major remodelling

every pocket. But life goes on, and we have to

scheme, which will transform the entire area.

find solutions for everything that comes on

Our aim is to be able to accommodate any

our way. The real estate sector was hit badly

request from our tenants.”

by the rising prices of construction materials

”I AM PROUD TO SAY THAT THE 6,500SQM LEASED AREA WILL HOST THE COUNTRY’S FIRST DERMATOLOGY AND ONCOLOGICAL SURGERY HOSPITAL IN THE PRIVATE HEALTHCARE SYSTEM. WE’VE ALSO MANAGED TO SECURE OVER 30,000 SQM IN OUR OFFICE PORTFOLIO WITH NEW LEASE EXTENSIONS,” ANDREEA COTIGA, SENIOR LEASING MANAGER AT IMMOFINANZ ROMANIA

AFI Europe, another important industry

and energy, which started last fall, bringing

player operating on three segments of the

many public projects to a standstill. But the

market—retail, office, and residential—will

private sector has managed to keep going and

launch new projects as well as continue de-

even though we won’t see as many deliveries

veloping its existing properties. “Our strategy

this year as we did last year, the demand for

is to make further investments and launch

new office, residential, and industrial spaces

new projects in all 3 segments. This year, we

remains high. Vlad Damian, Head of the In-

will finalise the second phase of AFI Tech

vestor Leasing Office at CBRE Romania, said

Park, which is a 25,000-sqm office project.

that “deliveries this year will be half of those

Its construction started during the pandemic

of last year, so we’re already seeing the effects

period and it is now complete. The second

of the freeze in permits. Construction is on a

office project that will start in August is AFI

”THE DECLINE IN THE STOCK OF NEW PROJECTS AND BUILDINGS IS RAISING INTEREST IN EXISTING PROJECTS. THIS IS A GOOD THING, BECAUSE IT WILL PUT MORE PRESSURE ON DEVELOPERS TO IMPROVE THE QUALITY OF THEIR BUILDINGS AND EVEN REFURBISH THE ONES THEY OWN,” EMMA TOMA, HEAD OF THE OFFICE DIVISION AT AFI EUROPE

declining trend that’s so significant that we cannot make a valid estimation for this year.” But investments will continue, thinks Andreea Cotiga, Senior Leasing Manager at Immofinanz Romania. “In today’s conditions, I think that we are going to see more investments. At Immmofinanz, we’ve had an intense period since the beginning of the year, as we’ve continued to develop and implement the myhive office concept in other buildings in our portfolio. Towards the end of the year, we will launch myhive Victoria Park in north Bucharest. We’ve upgraded all the areas of the building and have already secured tenants for the offices. I am proud to say that the 6,500-sqm leased area will host the country’s first dermatology and oncological surgery hospital in the private healthcare system. We’ve also managed to secure over 30,000 sqm in our office portfolio with new

”WE THINK THAT DELIVERIES THIS YEAR WILL BE HALF OF THOSE OF LAST YEAR, SO WE’RE ALREADY SEEING THE EFFECTS OF THE FREEZE IN PERMITS. CONSTRUCTION IS ON A DECLINING TREND SO SIGNIFICANT THAT WE CANNOT MAKE A VALID ESTIMATION FOR THIS YEAR,” VLAD DAMIAN, HEAD OF THE INVESTOR LEASING OFFICE AT CBRE ROMANIA

”THE PERMITS SITUATION USED TO BE THE ELEPHANT IN THE ROOM, AND NOW IT’S EVEN WORSE. NOTHING IS MOVING, WE ARE JUST WAITING, AND WE’RE DISCUSSING WITH THE AUTHORITIES, BUT TO NO AVAIL. EVERYTHING IS AT A STANDSTILL, AND IT IS HURTING THE LOCAL ECONOMY,” JAN DEMEYERE, CO-FOUNDER & PARTNER AT SPEEDWELL

www.business-review.eu Business Review | July-August 2022

32 REALTY FORUM

Loft, an extension of the AFI Cotroceni Mall,

freeze. Developers are having to wait months

most of the companies that want to rent an

a very interesting project in terms of archi-

and even years to get the papers required to

office space or expand their operations are

tecture. The offices will be built on top of the

start a project. The worst case is in Bucharest,

looking at new office buildings. The decline

mall, to be finalised in 2025. On the residen-

where since city plans (PUG and PUZ) have

in the stock of new projects and buildings is

tial side, we will build the AFI Home project

been suspended. “Permits are an ongoing

raising interest in existing projects. This is a

on Dimitrie Pompeiu Boulevard, where we

nightmare. Teams have been working on the

good thing, because it will put more pres-

bought land last year, with 400 apartments

General Urbanism Plan for the last 15 years

sure on developers to improve the quality of

delivered in two phases, creating a home for

and they have arrived nowhere. On top of

their buildings and even refurbish the ones

our office tenants in north Bucharest. We will

that, the PUZ is suspended. I can’t see any

they own. But we’ve learned that there are

offer special packages for our office tenants.

way out, not for Bucharest at least, since

activities that can be better done from home,

We are also getting ready to begin construc-

there is no political will to move things in the

so not all companies have returned to the

tion in Arad, where we will build 30,000 sqm

right direction,” said Serban Patriciu, Head

office. The lowest office return rate is in the

of retail spaces,” said Emma Toma, Head of

of the Romania Real Estate Practice at Noerr.

the Office Division at AFI Europe.

“The permits situation used to be the el-

Another important project is Vastint Ro-

ephant in the room, and now it’s even worse.

mania’s MIRO Offices, the building located on

Nothing is moving, we are just waiting, and

the DN1 road, with a total area of 25,000 sqm.

we’re discussing with the authorities, but to

“The building is 89 percent finalised and we

no avail. Everything is at a standstill and it is

are very happy with that. The Triama project

hurting the local economy. We need to get all

is in the last phase, in the east of Bucharest,

the people involved together and see what

where the first two blocks are completely

we can do to get things started,” said Antoniu

sold out. We also have a project in Timisoara,

Panait.

where we will begin construction in a few months, combining 50,000 sqm of offices

OFFICE MARKET TRENDS

with retail spaces and a residential compo-

After so many changes in the last two years,

nent of 230 apartments. Last but not least,

it is difficult for the office market to predict

we have bought a very big lot in Bucharest:

what companies and employees will want or

Griro on Calea Grivitei. It is a very challeng-

need in the future. But flexibility will surely

ing project, a mixed development with things

play an important role for employees, while

that make me happy as an architect. We are

companies will search for quality offices to

waiting for the construction permits,” said

offer them the best conditions. “Speaking

Antoniu Panait, Managing Director at Vastint

of trends, there are some clear directions

Romania.

we’ve seen in the last 2 years. First of all,

”MANY OF OUR CLIENTS TOLD US THAT THEY WANTED TO HAVE GREEN SPACES IN AND AROUND THE OFFICES. THIS IS A CONSEQUENCE OF THE PANDEMIC AND THE CONFINEMENT THAT CAME WITH IT. GREEN SPACES, GREEN FEATURES, AND FUN FACILITIES THAT MAKE PEOPLE FEEL HAPPY—THESE ARE THE THINGS OUR TENANTS ARE LOOKING FOR,” MARIA TUDORICA, COMMERCIAL REAL ESTATE MANAGER AT GENESIS PROPERTY

Maria Tudorica, Commercial Real Estate Manager at Genesis Property, noted that the projects the company manages meet all the needs of today’s employees, since coming to the office has become a choice for most of them. “Flexibility has become the new currency, and on the same note we have the co-living element, which is somehow made for digital nomads. The experience area will feature a huge food court, a space for residents and other people in Bucharest to enjoy. What we’re trying to do there is invite people to enjoy life at the office while having access to all the facilities they need to enhance their professional and personal lives, letting them enrich each other.”

PERMITTING PROBLEMS The situation in the real estate industry is made worse by the construction permit

”THE FIRST SIX MONTHS OF THE YEAR WERE VERY PROMISING, WITH APPROXIMATELY 500,000 SQM TRADED NATIONWIDE, REPRESENTING 52 PERCENT OF THE TOTAL DEMAND TRADED IN 2020, THE RECORD YEAR FOR THE INDUSTRIAL AND LOGISTICS SEGMENT. WE THEREFORE EXPECT 2022 TO BE A GOOD YEAR FOR TRANSACTIONS,” DANIELA GAVRIL, HEAD OF RESEARCH AT CBRE ROMANIA

”IN MY OPINION, THE TREND OF REMOTE AND HYBRID WORK IS NOT TAKEN SERIOUSLY, BUT IT IS GOING TO BE A VERY IMPORTANT TOPIC FOR THE FUTURE. COMPANIES WILL HAVE REPRESENTATIVE OFFICES AS WELL AS SATELLITE OFFICES FOR HYBRID WORK. THE REPURPOSING OF EXISTING OFFICE BUILDINGS IS ALSO IMPORTANT,” SERBAN PATRICIU, HEAD OF THE ROMANIA REAL ESTATE PRACTICE AT NOERR

www.business-review.eu July-August Business Review | May 2016 2022

REALTY COVERFORUM STORY 33 14

IT&C industry, where many employees have

Laurentiu-Catalin Hanu, Country Manager at

have managed to find solutions so far, as we

decided to continue working from home,”

ILD Romania.

must deliver good services to customers,” he

said Emma Toma.

“First of all, we saw a market that needed

concluded.

the services provided by the Decea intermo-

INDUSTRIAL AND LOGISTICS

dal terminal. Intermodal transport means an

REALTY AWARDS

The second panel of Realty Forum was

additional communication path for the region

The event ended with Business Review’s

dedicated to industrial and logistics spaces—

and it means connectivity for the transport

Readers’ Choice Realty Awards. By look-

particularly on planned investments, but also

of goods both to and from the port. It creates

ing at the best performing companies in the

on the challenges the sector is facing today.

predictability, which is vital for logisticians.

Romanian real estate sector through this lens,

“The first six months of the year were very

Retailers, in turn, are also looking at a smaller

based on the metrics generated by news ar-

promising, with approximately 500,000 sqm

carbon footprint, which we achieve by us-

ticles, stories, analyses, profiles or interviews

traded nationwide, representing 52 percent of

ing rail and electric trains,” Laurentiu Hanu

over the past 12 months, Business Review

the total demand traded in 2020, the record

added.

was able to identify the most remarkable ac-

year for the industrial and logistics segment,”

The quality of logistics services is very

said Daniela Gavril, Head of Research at CBRE

important since they are a part of the support

Romania.

offered to businesses. And in order to offer

“In the first six months of the year, we

quality, logistics companies must overcome

continued all the projects we have previously

any challenge that may emerge, such as the

started; we currently have projects in Bucha-

workforce shortage. As pointed out by Gabriel

rest, Targu Mures, and Constanta, and we’ve

Tomescu, CEO at BMF Group, a solution to

had deliveries in Pitesti and Timisoara. I think

this problem may be to import workers from

that by the end of the year we will be able to

Asia, but it is not simple as it takes a long

deliver almost 100,000 sqm which are now

time, and time is not something developers

under construction. Some of it has already

can spare. “In terms of support services, a

been delivered. From this point of view,

project without high quality services can-

we’ve not experienced any deviation from

not be successful, regardless of how big

our plan,” said Sorin Preda, CEO & Founder at

the investment is. The first six months of

Global Vision. However, he pointed out that

the year have been much better than I had

things could be going even better. Today’s

predicted. We’re now facing many difficult

context is complicated, with a health crisis

situations; the geopolitical context has

that continues even after two years and with

completely changed our supply chain. But we

a military conflict happening very close to

complishments in the industry as well as the people behind them!

”BY THE END OF THE YEAR, I THINK WE WILL BE ABLE TO DELIVER ALMOST 100,000 SQM WHICH ARE NOW UNDER CONSTRUCTION. SOME OF IT HAS ALREADY BEEN DELIVERED. FROM THIS POINT OF VIEW, WE’VE NOT EXPERIENCED ANY DEVIATION FROM OUR PLAN,” SORIN PREDA, CEO & FOUNDER AT GLOBAL VISION

our borders. These have forced companies to make big changes. For example, e-commerce, a sector that grew rapidly during the pandemic, had rising demand for storage spaces, but it also had a lot of difficulties due to supply chain problems. The same context has required changes in infrastructure, with a need for storage facilities located next to highways and rail-

idea was to anchor a project in the centre

”AT DECEA, HALFWAY BETWEEN TURDA AND SEBES, THE TWO MAIN NODES ON THE AREA’S HIGHWAY SYSTEM, ILD STARTED A PROJECT FEATURING INDUSTRIAL AND LOGISTICS HALLS. OUR IDEA WAS TO ANCHOR A PROJECT IN THE CENTRE OF THE COUNTRY THAT WOULD SERVE THE REGION AND CREATE THE OPPORTUNITY OF AN INDUSTRIAL PLATFORM FOR COMPLEMENTARY ACTIVITIES,”

of the country that would serve the region

LAURENTIU-CATALIN HANU,

”THE FIRST SIX MONTHS OF THE YEAR HAVE BEEN MUCH BETTER THAN I HAD PREDICTED. WE’RE NOW FACING MANY DIFFICULT SITUATIONS; THE GEOPOLITICAL CONTEXT HAS COMPLETELY CHANGED OUR SUPPLY CHAIN. BUT WE HAVE MANAGED TO FIND SOLUTIONS SO FAR, AS WE MUST DELIVER GOOD SERVICES TO CUSTOMERS,” GABRIEL TOMESCU,

COUNTRY MANAGER AT ILD ROMANIA

CEO AT BMF GROUP

roads. One of these projects was developed by ILD Romania at Decea, near the centre of the country. “There is high demand for spaces in the Decea project due to the nature of the project. At Decea, halfway between Turda and Sebes, the two main nodes on the area’s highway system, ILD started a project featuring industrial and logistics halls. Our

and create the opportunity of an industrial platform for complementary activities,” said

www.business-review.eu Business Review | July-August 2022

34 INTERVIEW

PMI’s mission: building a smoke-free future for Romania Daniel Cuevas, Managing Director at Philip Morris Romania, gave an exclusive interview to Business Review and talked about the impact of the company’s investments on Romania’s economy, the organisation’s commitment to its people, and the sustainability goals set for the Otopeni factory. By Mihai Cristea duces consumables for smoke-free products, our employees receive constant training. As a result, new technologies and equipment are being implemented in Romania for the first time. What’s more, the average salaries paid to our employees are well above the national average. In 2020, the average gross salary in the two companies operating in Romania was 1.7 times higher than the national average gross salary.

Who are the people inside Philip Morris Romania and what can you tell us about the company’s investments in its workforce? What are the main takeaways of the study you conducted with Strategic Thinking Group about Philip Morris Romania’s impact on our country’s economy?

At the end of H1 2022, how much of the promised USD 100 million has already been invested in the Otopeni factory?

We try to encourage our people to develop

We are in the process of transforming the

trained staff increased by 39 percent, from

The results of the economic footprint study

business and the factory in Otopeni. Since

819 to 1,135. We also invest in new talent by

conducted by Strategic Thinking Group show

2017, PMI has invested over USD 500 million

developing internal programmes. The num-

that PMI’s contribution in Romania has been

in transforming the factory into a state-of-

ber of internships has also increased: over the

remarkable. We are an important partner for

the-art manufacturing facility for smoke-free

past 3 years, we’ve hired 99 interns.

the state, and we don’t stop here!

products. This investment was supplemented

constantly, both professionally and personally. Between 2016 and 2020, the number of

We are transforming our business in order

by an additional USD 100 million, and while

to provide better choices for adult smokers

activity we carried out (direct, indirect, and

we cannot disclose the amount that has been

who would otherwise continue to smoke.

induced) was estimated at RON 4.4 billion.

invested so far in 2022, I can assure you that

The sale of our products in Romania gener-

the entire amount will have been invested by

ated RON 1.9 billion in excise duties and RON

the end of the year. Our commitment remains

0.6 billion in VAT.

clear: strong investments and a smoke-free

In 2020, the total impact of the economic

We also generate a significant social im-

Romania.

pact. PMI employs nearly half of all tobacco sector employees in Romania. The company’s

In terms of environment and sustainability, what is Philip Morris Romania’s strategy and what type of projects have you implemented so far? We have set an ambitious goal of making our Otopeni factory carbon-neutral by 2024, and

2016 and 2021 was 7 percent, in contrast

How important is the development of a skilled and professional workforce in generating added value for Romania?

to the 1 percent annual decline rate for the

PMI is no longer a cigarette manufacturing

manufacturing process reached 36 percent

entire manufacturing sector over the same

company, as it was 10-15 years ago, but one

in 2020, up from zero in 2016; second, no

period. It took a great financial and profes-

that develops products based on science, re-

waste generated by our production activities

sional effort to reach these results, but we are

search, and technology. This means working

in the Otopeni factory reaches the landfill: 70

really proud. We are ready to push forward

with highly qualified people. In this process

percent of waste is recycled externally, and 30

our promise to deliver a smoke-free future.

of converting the factory into one that pro-

percent is used for energy production.

annual employment rate growth between

we have taken important steps already. First, the share of renewable energies used in the

www.business-review.eu Business Review | July-August 2022

CONTEMPORARY ART 35

13 spaces in Sibiu become temporary homes for contemporary art through visual arts platform

By Oana Vasiliu

Photo courtesy of PAV

The visual arts platform (PAV), a project that began in 2010 at artist Dan Perjovschi’s initiative, became part of the Sibiu International Theatre Festival (FITS) this year, coordinated and curated by Iris Ordean. PAV finds itself at the intersection of two international events: the documenta15 contemporary art exhibition in Kassel (Germany) and the Sibiu International Theatre Festival. Johannes Vogl’s installation (Photo courtesy of PAV)

aking place in Sibiu, a city that wavers

cover PAV across 13 spaces in the city: Radu

ana Chiruta), the Sibiu German Cultural Cen-

between a conservatory approach

Stanca National Theater – with the Horizontal

tre (Sorina Tomuletiu), the art.nonstop space

and a reintegration/redefinition of

Newspaper signed by Dan Perjovschi and a

(Flaviu Cacoveanu, Catalina Nistor, Miruna

multiculturalism, the visual arts platform

magnet installation designed by the artist;

Radovici), the Sibiu Zoo (Casandra Vidrighin),

aims to illustrate this complex dynamic,

the Astra Library (Lia Perjovschi), Promenada

the Astra Museum (Adina Mocanu), and

which has inherent echoes in the local

Mall (different exhibitions and performances

the Love Gallery (Dan Raul Pintea, who also

contemporary art scene. PAV brings together

signed by Ioana Sisea, Johannes Vogl, Ana

invited an anonymous artist).

artists and associative entities working lo-

Dumitrescu, Anamaria Sut, Winael Baldus),

cally, as well as creative voices from the rest

Sibiu State Philharmonic (performances by

more or less formal discussions at the local

chi managed to obtain part of the project’s

artists Alexandra Coroi, Bogdan Dumitrescu,

level about the lack of spaces for contem-

funding, with other contributions coming

Lavinia Cretu, Stefan Radu Cretu, Adriana

porary art, the fact that all the initiatives we

from FITS and the German Cultural Centre in

Chiruta, and artistic interventions by the

have seen over the years have not lasted,

Sibiu.

ALEG Sibiu Association and the Arab Cultural

and the need to form a coalition with people

Centre), the tower of the Evangelical Church

involved in the creative industries—not nec-

(with temporary projections signed by Adri-

essarily just artists,” Iris Ordean explained.

“The project was also based on a series of

of Romania and from Germany—after all, the Photo courtesy of documenta15

plurality of different points of view is the core concept of this first edition. At the meeting point of these three vectors is artist Dan Perjovschi, who divides his time between Sibiu and various locations around the world. A participant of this year's editions of both documenta15 and FITS, Perjovschi works with curator Iris Ordean to bring different voices to the first edition of PAV. Through the presence of artists and the inclusion of a series of unconventional spaces, the visual arts platform aims to illustrate the complex dynamics that affect the local contemporary art scene, which is very poorly represented in Sibiu. By participating in this year's edition of documenta15, Dan Perjovs-

During FITS, which took place between June 26 to July 3, the public was able to dis-

www.business-review.eu Business Review | July-August 2022

www.business-review.eu

36 CITY Business Review | May 2016

COVER STORY 14

Summer in the city If you have to cope with the summer heat in Bucharest, you can at least be sure that you won’t get bored. From festivals and concerts to film screenings and various other open-air performances, but also cool swimming pools and pedestrian areas, this summer’s agenda caters to all tastes. By Oana Vasiliu

Herastrau Park to chill out

Enjoy Gradina cu Filme

PARKS: THE BEST WAY TO CHILL

in north Bucharest, the Pescariu Sports&Spa

Hall announces each weekend’s programme

In north Bucharest, Herastrau Park offers

complex offers a quiet retreat in an exclusive

on Fridays. Kiseleff Road hosts a street food

both leisure and entertainment options.

setting. It has an indoor swimming pool that’s

festival each weekend, featuring plenty of

What’s more, the old summer theatre has

open all year and three outdoor pools for the

food options—we’ve even spotted gluten-free

been refurbished and it is hosting a series of

summertime.

products—as well as live concerts.

live concerts. Near the old city centre, Cis-

Located on Calea Victoriei, one of Bucha-

migiu Gardens stand out as the right spot for

rest’s busiest roads, the Radisson Blu outdoor

ARTS & MORE

relaxation for those who are downtown. Just

swimming pool also has a pool bar and a

Gradina cu filme (The movie garden – Lah-

a few streets away there’s Izvor Park, another

patio. Our recommendation? Head to the pool

ovari Square) has a consistent schedule of

good place to escape the heat.

on Sundays for a brunch that features hearty

film screenings, with Romanian, European,

food, fine wines, and scrumptious desserts.

and international selections, plus concerts,

Another spot on the list should be the Botanical Garden, a very chill alternative to the

You should also take a look at Europe’s

parks, which can get rather crowded. Every

largest wellness complex, Therme Bucuresti,

week, the garden hosts Weekend Sessions, a

a 15-minute drive from Bucharest, which

mances in the garden at Casa Universitarilor

series of events that let visitors enjoy music,

starting this summer is offering a 30,000-sqm

(Romana Square), and also hosting events

art, poetry, and fun.

urban beach.

that bring live music, films, and children’s

stand-up comedy, and theatre plays. Unteatru is putting on theatre perfor-

entertainment, all offering an overall vacation

SWIMMING POOLS

PEDESTRIAN AREAS

vibe. One of the most beloved summer music

While some of the pools belong to the city’s

The “Open Streets – Bucharest, Urban Prom-

festivals is Summer Well (Aug 13-15), whose

best-known hotels, others are part of public

enade” event, which closes several streets

headliners this year are Arctic Monkeys. Many

or private health clubs. Regardless, most of

in Bucharest to vehicle traffic, is going to

other famous international bands will create

them have nice bars that usually also serve

continue until October 16. Several pedestrian

a wonderful party atmosphere at Domeniul

food.

areas are set up in the central area of the city

Stirbey, alongside lots of fun festival activi-

Check out Floreasca Swimming Pool,

as part of this project, namely Calea Victoriei

ties. East European Comic Con is returning to

which also has a charming terrace, a bar

and adjacent streets, George Enescu Square,

Bucharest (Aug 26-28) and promises to be a

serving delicious cocktails, and a kitchen that

Universitatii Square, Unirii Boulevard, and

cool cosplay event, with attendance by inter-

specialises in burgers. Also located in the

Kiseleff Road. New streets are being added

national actors, music, games, and all sorts of

up-and-coming neighbourhood of Floreasca,

for pedestrian-only traffic each week; the City

related entertainment options.

www.business-review.eu Business Review | July-August 2022

38 CITY

Cultural calendar Art Safari Until August 7, Dacia Palace

Anonimul Film Festival Aug 7-14, Sfantu Gheorghe, Danube Delta

music event in Romania. And the

During the festival’s 17th edi-

good news continues for those

tion, teenagers from 10 theatre

who have already bought tickets:

companies across Romania will

Blu DeTiger, Dylan Fraser, and

be guided by a team of 32 artists

Jadu Heart will be part of the

in a week of exploring theatre

main stage line-up, along with

through several types of art.

Arctic Monkeys, Nothing But

Liviu Pintileasa, Florentina Tilea,

Thieves, Jungle, Future Islands,

and Gabriel Rauta will be joining

Inhaler, Channel Tres, Alice Mer-

the mentors this year, and among

ton, Roosevelt, Self Esteem, Sad

the absolute novelties of the

Night Dynaminte, Lea Porcelain,

edition are two workshops where

and Hayes & Y.

participants will experience the process of creating behind-the-

This edition of the Anonimul Film Festival brings to the Danube Delta several Romanian

By Oana Vasiliu

James Arthur concert Aug 16, Roman Arenas

scenes makeup and virtual reality, in addition to photography,

films awarded at international

music, dance, film, and creative

festivals, including Cannes or

writing.

San Sebastian. The programme For this edition, the event will

includes two short film competi-

showcase the work of Theodor

tions, covering Romanian and

Aman, Pablo Picasso, Salvador

international productions, a fea-

Dali, Reuven Rubin, Irina Drag-

ture competition, and screenings

omir, and Barbara Klemm. The

outside the competitions. The

central pavilion—Picasso, Dali &

screenings are accompanied by

James Arthur is one of the most

Falla – Le Tricorne—will present

meetings and dialogues between

successful British artists, with

the work of Pablo Picasso and

the filmmakers and the public,

over 2.5 million albums sold

Salvador Dalí created for Manuel

which are free of charge.

worldwide. James won the X

de Falla’s ballet, Le Tricorne. Art Safari’s contemporary pavilion will feature the Irina Dragomir.

East European Comic Con 2022 Aug 26-28, Romexpo

Factor in 2012 and he is still the

Summerwell Festival Aug 12-14, Mogosoaia

most successful artist to take part in the competition. In the

Red, yellow, and blue exhibition,

4 years since his launch on the

while the guest pavilion will

music scene, James Arthur has

The event has been celebrating

showcase the Who was Reuven

performed in Europe, North

pop culture in Bucharest since

Rubin? exhibition, dedicated

America, and Asia. He has shared

2013, bringing together all those

to the work of Romanian-born

the stage or collaborated with

who love comic books, movies,

Israeli artist Reuven Rubin (1893-

artists such as Kelly Clarkson,

TV series, Sci-Fi and fantasy,

1974). The anniversary pavilion

One Republic, Machine Gun

gaming, Japanese culture, An-

will present the photography

Kelly or Westlife. Tickets are still

ime, Manga, boardgames, trading

exhibition Barbara Klemm. Light

available.

card games, and technology. It is

and Dark. curated by Matthias

no secret that the famous San Di-

Flügge, which features works by

Summer Well 2022 is just 30

one of Germany’s most distin-

minutes away from Bucharest, on

guished photographers. The

24 hectares of forest, where over

this event. After many editions,

exhibition dedicated to Theodor

30 artists will perform during the

the East European Comic Con has

Aman, curated by Elena Olariu,

three-day festival, on 4 stages

become one of the most impor-

aims to highlight the personal-

located on the Stirbey Estate. Set

tant events of its kind in Europe

ity of the artist who founded the

for August 12-14, Summer Well

and the most important event in

local School of Fine Arts.

2022 is this year’s first sold out

Eastern Europe.

Ideo Ideis Festival Aug 17-22, Alexandria

ego Comic Con International was the main source of inspiration for

BR/07-08/2022

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