Press Release: Company law: Commission proposes further simplification of EU rules on mergers and divisions

The European Commission put forward a proposal for a directive that will further reduce the administrative burdens on European public limited-liability companies in the area of mergers and divisions. Under the proposal, companies would benefit from simplified requirements on reporting and on publication of draft terms. The proposal complements the two packages of 'fast track' measures that were put forward by the Commission in March 2007. These measures will contribute to the objective of reducing administrative burdens on EU companies by 25% by the end of 2012. The total savings potential of the measures proposed so far in the area of company law, with the current proposal, was brought to 1 billion €/year.