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| Jersey Consults Industry On Foreign Merger Proposals |
by Jason Gorringe, Tax-News.com, London
Thursday, February 11, 2010
The Jersey government has requested views on whether the Companies
law should be amended to allow for the merger of Jersey companies with foreign
entities.
At present, it is only possible to merge a Jersey company with another Jersey
company, however, in an increasingly globalized world, more and more business
is conducted across national borders and there is a growing demand for Jersey
companies to be able to merge with foreign companies.
A consultation paper has been prepared to give all interested parties an opportunity
to contribute their views on the proposed changes. Issues include which foreign
entities should be allowed to merge with Jersey companies, the requirements
for consent from the Jersey Financial Services Commission and measures for the
protection of company shareholders and creditors.
Welcoming the consultation, Minister for Economic Development, Senator Alan
Maclean, said: “I’m pleased that we’re working on this excellent
initiative which will ensure that Jersey’s company law remains competitive.
Some other jurisdictions have already successfully introduced this added flexibility
into their company law and I’m confident that Jersey will benefit from
taking a similar approach.”
Responses to the consultation must be made by April 2, 2010.
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