In today’s business world, two distinctive company types stand out: joint ventures, classified as partnerships, and public interest entities, which fall under the category of Société Anonyme (S.A.) companies. Joint ventures are formed through the collaboration of independent businesses aiming to carry out specific projects, while public interest entities are characterized by the importance of their operations to national or international markets.
Joint Ventures
Joint ventures are often referred to as “opportunity companies” since they are typically established for temporary purposes. Their formation requires collaboration across various resources—technical know-how, personnel, and capital. Common examples include:
- Joint ventures for the execution of technical projects
- Banking consortia for the issuance of large loans
- Joint ventures for setting up a shared subsidiary
Depending on the objective, a joint venture may take several legal forms:
- A commercial company if its aim is trade-related
- A civil (non-commercial) company, if it does not pursue commercial transactions
- A silent partnership, if internal cooperation exists without public representation
Under Law 4072/2012, a joint venture may acquire legal personality and bankruptcy capacity, provided it is registered in the General Commercial Registry (G.E.MI.). In this case, it is automatically classified as a general partnership, with all relevant legal provisions applying.
Public Interest Entities
Public interest entities (PIEs) form a special category of S.A. companies, whether listed or unlisted on the stock exchange. Their establishment requires approval by the Ministry of Economy and Development, including a legality check both during their formation and in any amendments to their articles of association.
The designation “public interest” stems from the broad range of stakeholders affected by the company’s operations—not just shareholders. This includes:
- Insurance and reinsurance companies
- Credit institutions
- Other entities with a significant economic or social footprint (e.g., Public Power Corporation of Greece – PPC/ΔΕΗ)
For these entities, beyond ministerial approval, a special operating license is required to be recorded in the G.E.MI. registry. Furthermore, in some cases, additional approval from regulatory bodies such as the European Central Bank may be required, depending on the nature of their business.
Evolving Legal Framework
The rules governing joint ventures and public interest entities are continuously evolving with the aim of enhancing:
- Transparency
- Operational efficiency
Protection of all stakeholders involved
