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ARTICLE · 12 APRIL 2017

Shareholder Rights Directive Changes To Bring Enhanced Rights

Mason Hayes & Curran LLP
Mason Hayes & Curran LLP
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Mason Hayes & Curran LLP

Mason Hayes & Curran LLP

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On 3 April 2017, the European Council announced that it had adopted, without debate, a directive which will amend the existing Shareholder Rights Directive.

IrelandCorporate/Commercial Law

On 3 April 2017, the European Council announced that it had adopted, without debate, a directive which will amend the existing Shareholder Rights Directive. This will affect more than 8000 listed companies on EU regulated markets capitalising around €8 trillion. The enhanced transparency and shareholder engagement provisions in the directive will be of interest to shareholders and directors of listed companies, listed companies and institutional investors.

The amendment to the existing Shareholder Rights Directive (Directive 2007/36/EC) will enter into force following its publication in the Official Journal of the EU (the "Directive"). Member States will then have two years to transpose the Directive into national law. The purpose of the new rules is to improve the long-term sustainability of listed EU companies, enhance the efficiency of the chain of intermediaries and to encourage shareholder engagement. The authors were motivated by perceived shortcomings in

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