demerger proposal

Demerger proposal

The procedure is very similar to that of a merger. The administrative bodies of all the companies involved in the demerger prepare a demerger proposal by authentic instrument or by private instrument in which the information set out in articles 12:59, paragraph 2 or 12:75, paragraph 2 of the WVV is included. These data include:

  • the identity of the companies involved;
  • the exchange ratio and the manner in which the shares in the acquiring companies will be issued; 
  • the precise description and division of the parts of the assets and liabilities to be transferred to each recipient company.

This proposal must be filed by each company participating in the demerger with the Registry of the company court no later than six weeks prior to the demerger decision. It is in turn published in the Annexes to the Belgian Official Journal, either by way of an extract or by means of an announcement of the subject of the proposal and a hyperlink to the company website.

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