A number of new laws and amendments will have an impact on the players in the securities market of Bosnia and Herzegovina.
The Law on Companies in FBiH and the Law on the Takeover of Companies in FBiH as well as amendments to the Law on the Securities Market in FBiH and the Law on Foreign Investments in FBiH were adopted by the Parliament of the Federation of Bosnia and Herzegovina (FBiH) in the last few weeks. Moreover, the National Assembly of the Republic of Srpska adopted amendments to the Law on Investment Funds.
The new Law on Companies introduces obligations for significant and controlling shareholders, it defines provisions concerning the minimum nominal value of shares as well as publishing requirements for shareholders meeting announcements and it introduces a corporate split-off.
The most significant changes within the new Law on Takeover of Companies in FBiH refer to take-over thresholds, tender offer announcements, take-over prices, squeeze outs and tender offer lifecycles.
The amendments to the Law on the Securities Market in FBiH determine redefines the fines for breaching the provisions of the law.
The amended Law on Foreign Investments in FBiH is expected to provide an environment that promotes and encourages foreign investments. It introduces the possibility of an exemption from existing restrictions regarding participations in restricted companies, regulate repatriation of funds and prescribe the establishment of a Council for Foreign Investors.
Meanwhile, the amendments to the Law on Investment Funds in the Republic of Srpska requires close-end investment funds established upon the Law on Privatisation Investment Funds and Privatisation Funds Management Companies to transform into open-end funds within three years.
GSS Bosnia and Herzegovina