EU approves rules to facilitate mergers and crossborders conversions
The objective of this initiative is to eliminate barriers to the freedom of establishment of companies
The governments of the members States of the EU announced on Monday that the rules governing mergers and divisions between companies are ready are headquarters in different nations of the block.
The main objective of these regulations is to eliminate obstacles for free commercial establishment in the region as well as to encourage the development of nations. From the publication of these rules in the Official Journal of the EU they will enter into force for 20 days. Member States shall have a period of 36 months to transfer their provisions to national laws.
Among the figures contemplated in these measures are the procedures for cross-border conversions and splits. At the same time, the requirements for companies with limited liability established in different EU countries were created.
The legal aspect is contemplated as a priority, oriented to the legality of cross-border operations and introduces a mandatory procedure to combat fraud, tax evasion and other acts that members consider for alleged criminal purposes. In such situations, the transactions may be blocked.
The regulations also include the rights of workers, their participation and benefits in mergers. In fact, it is established that workers be consulted and informed about the impact of operations. Minority and non-voting groups will be the most protected.
M.Pino
With information from Agencies
