NEWS

All our customers who wish to retain their bearer shares must be informed of changes in the law of immobilization of bearer shares.

The Government of the Republic of Panama has anticipated the entry into force of Law No. 47 of 2013, which created a system of custody of bearer shares, reducing the term to immobilize bearer shares to December 31, 2015.

This means that as of January 1, 2016, all corporate charters of Panamanian corporations shall be deemed amended by law, prohibiting the issuance of bearer shares, except the cases whereby the board of directors or shareholders have been approved by resolution duly registered in the Public Registry of Panama, stating that the Panamanian corporation will benefit from the immobilization of bearer shares established in the law previously mentioned.

Consequences of this new legislation:

1. Nullity of bearer shares previously issued

2. Softening of legal structures

3. Risk of assets protection

Actions to be taken before December 31, 2015 if you want to keep bearer shares in your Panamanian corporations:

1. Issue and register with the Public Registry of Panama, a minute of Shareholders or Board of directors (depending on the corporate charter of the corporation) in which the company is authorized to maintain bearer shares under custody by a regulated custodian.

2. Subscribe a document that allows the issuance of a new certificate of bearer shares with a new date of issuance.

3. Deliver new certificate of bearer shares to a regulated custodian along with information about the beneficial owner of such bearer shares.

Regulated Custodian:

Under Panamanian law, fiduciaries registered with the Superintendence of Banks of the Republic of Panama are authorized to act as local custodians of bearer shares.

Panama are authorized to act as local custodians of bearer shares.

LOVILL TRUST, part of Lovill Group, is a fiduciary with License No. SBP-FID-0023-2014 of July 8th, 2014, which allows us to act as regulated custodians offering security and confidentiality in the custody of your bearer shares.

If you require our services, please contact Ms. Yolanda Valdes. [email protected]