On January 27 2010 a legislative decree to implement the EU Shareholders’ Rights Directive (2007/36/EC) amended certain provisions of the Civil Code and the Consolidated Finance Law (Legislative Decree 58/98). The revised rules have applied to shareholders’ meetings called since October 31 2010.
The aim of the reform is to encourage investment in listed companies by allowing for greater participation in shareholders’ meetings by minority shareholders and non-resident investors. It makes a minority shareholding a more attractive opportunity, especially for certain investors, such as investments funds, which generally prefer not to assume the risks of company management.
This update summarises the main amendments that affect listed companies’ bylaws and regulations on shareholders’ meetings.