Italy's Brembo to relocate to Netherlands despite voting rights change
Reuters
Published Feb 22, 2024 15:49
MILAN (Reuters) - Italy's Brembo will go ahead with plans to move its registered office to the Netherlands, a spokesman said, despite efforts by the Italian government to encourage more businesses to retain their legal base in the country.
The brake maker last year decided to transfer its legal headquarters to the Netherlands and strengthen its loyalty share scheme, in a move it said it was aimed at increasing its ability to capitalise on M&A opportunities.
The process is scheduled to be completed shortly, with the company being incorporated in the Netherlands from April 24, the day after its next shareholders meeting.
"Brembo is going ahead with its cross-boarder conversion path, which will be effective from April 24," a spokesman for Brembo told Reuters, stressing that the government's measures have not yet been approved in their final version.
Italy's upper house of parliament, the Senate, will finally approve next week a bill allowing listed companies to issue shares that boost up to 10-fold the voting rights of longstanding investors.
The move is part of government efforts to stem relocations to the Netherlands, where corporate governance rules help established shareholders keep a tight grip on companies.
The tax residence of Brembo, which is controlled by the Bombassei family, will however remain in Italy while its shares will continue to be listed in Milan.
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Written By: Reuters
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