20.8.2019 – Spilios Spiliopoulos and Partners Law Firm, acting on behalf of Associated Companies, one of which is based in Greece and the other abroad, coordinates, controls and supervises the necessary actions for the completion of the process of providing corporate financing between them, based on the legal requirements set by Law 4548/2018 and the EU Directives 2007/36/EC and 2017/828/EU, for Associated Companies.
More specifically, the two companies are, according to the International Accounting Standards 24, “Related Parties”, since the other company holds 40% of the share capital of one of them, while in both companies, the Chairman of the Board of Directors and the CEO are the same person. According to the provisions of Articles 99-101 of Law 4548/2018, which are applicable, the validity of any transaction between Related Parties requires a special authorization granted by resolution of the Board of Directors, which is valid for 6 months. Furthermore, it is stipulated that within 10 days from the publication of the notice on the granting of authorization by the Board of Directors, shareholders representing 1/20 of the share capital may request the convening of the General Meeting of Shareholders to decide on the issue of granting the required authorization. In any case, the transaction for which authorisation has been granted on the basis of the above shall be considered definitively valid only after the expiry of a 10-day period or after authorisation has been granted by the general meeting or after a written declaration by all the shareholders that they will not request a general meeting to be convened on this matter.
