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Cross-Border Conversions, Mergers and Divisions Proposal

Proposal for a Directive of the European Parliament and of the Council amending Directive (EU) 2017/1132 as regards cross-border conversions, mergers and divisions

The European Commission adopted a proposal for a Directive amending Directive (EU) 2017/1132 on cross-border conversions, mergers and divisions in April 2018. The proposal is part of the EU Company Law Package: making the best of digital solutions and providing efficient rules for cross-border operations. The objective of the proposal is to make it easier for companies to merge, divide or move within the Single Market and to safeguard employees, creditors and minority shareholders rights. The Department held a public consultation on the proposal in May 2018. Negotiations on the proposal commenced at the Working Party on Company Law in mid-2018 and continue into 2019.