Company acquisition in Greece
The acquisition of a company already operating in the Greek market has also found increasing favour in Greece in recent years compared to the formation of a new company. The advantages arising from such a purchase are not to be dismissed even from a tax perspective. The greater incentives, however, naturally consist in the greatest possible safeguarding of one’s own investment. As a further option, the (majority) participation in an already existing company should also be considered.
Such corporate transactions, known as “Mergers & Acquisitions”, abbreviated “M & A”, are of course also possible in Greece.
The legal framework for carrying out a corporate transaction generally depends on the legal form, the particularities of the company concerned, and also on the asset to be transferred. This will in detail also lead to the application of different provisions.
The essential distinction is between
- a “Share Deal”, i.e., the transfer of shares/interests in a company.
In detail, the corresponding corporate law provisions for the respective legal form must be observed here. Differences already arise as to the form of transfer, i.e., whether a notarial or a private written transfer is possible.
The respective publication procedures will also depend on the respective legal form. The publication procedures are now all carried out at the competent Chamber of Commerce, the so-called GEMI.
- an “Asset Deal”, i.e., the partial or entire transfer of the assets of a company, without acquiring the company itself.
In this context, the general civil law provisions must also be taken into account, depending on the nature of the asset to be transferred. Differences will already arise from whether the asset to be transferred is real estate or another movable asset.
For the form of transfer to be chosen in each individual case, liability and tax aspects will be of decisive importance. The risk of legacy liabilities must always be assessed and examined particularly in share deals.