The Decree-law number 49/2010, published on May 19, transposes into national law the Directive nr. 2007/36/CE on the exercise of certain shareholders rights on listed companies, and establishes the possibility of issuance of shares without par value.

The referred Decree-Law makes amendments to the Portuguese Securities Code, namely on the rules concerning shareholders’ information, attendance and voting rights in general meetings of shareholders of listed companies.

The Portuguese Companies Code is also amended in order to allow the issuance of shares without par value. These amendments shall expand Portuguese companies’ financing options, namely by allowing share capital increases which would not be permitted or would be dependent on a previous reduction of the share capital.

These amendments also exempt foreign companies, rendering services in Portugal under the “free movement of services” principle, in accordance with Directive nr. 2006/123/CE, from the obligation to set up a permanent representation in Portugal.

The above referred amendments shall entry into force on May 24.

Abreu Advogados