On 1 September 2018, the Companies (Demerger) (Jersey)
Regulations 2018 (the "Regulations") came into force,
providing a statutory regime which will allow certain Jersey
companies to be split into two or more companies.
Overview
The Regulations enable an eligible Jersey company (the
"demerging company") to demerge into two or more
companies (the "demerged companies"). The new regime is
intended to strengthen the corporate law offering already available
in Jersey and provide additional flexibility and cost-efficiencies
to those using Jersey companies while providing the necessary
protections for other interested creditors, shareholders and
employees.
In overview, a demerger requires the following steps under the
Regulations:
