GREECE: New rules on Greece disclosure of shareholdings in credit institutions and insurance companies

Thursday August 12 2010

The Greek parliament has amended Law 3601/2007 and Presidential Decree 40/1970 which regulate disclosure requirements for Greece disclosure of shareholders of Greek credit institutions and insurance companies. The new Law 3862/2010, which came into effect on 13 July 2010, also introduces new provisions and approval procedures for certain sectors as well as minor changes to the evaluation procedure by the Bank of Greece.

The law regulates disclosure obligations for shareholders wishing to acquire or dispose of significant holdings and the pre-approval requirements and procedures for investors who wish to acquire shares in credit institution and insurance companies. The amended thresholds for disclosure purposes are 5%, 10%, 20%, and 1/3 or 50% of a credit institution, and 10%, 20%, and 1/3 or 50% for an insurance company registered in Greece. Investors intending to increase or dispose of shares which would cause their holding to reach or fall under one of the threshold limits are required to inform the Bank of Greece in advance of the intended participation, following the notification requirements detailed in the legislation.