On 5 July, Spain’s Official State Journal (Boletín Oficial del Estado, or BOE) published Royal Decree 571/2023, of 4 July, on foreign investments (RD 571/2023), which implements Law 19/2003, of 4 July, on the legal regime applicable to the movement of capital and financial transactions abroad (Law 19/2003), which will enter into effect on 1 September 2023.
In our detailed briefing, we set out the essential content of RD 571/2023, with a particular reference to the elements that develop the provisions of Law 19/2003:
- Background
- Effectiveness and application
- Delimitation of the concept of foreign investment: exclusion of internal restructuring and shareholding increases exceeding 10% that do not entail a change of control
- Delimitation of the investor in certain circumstances: fund managers and collective investment schemes and the criterion of the beneficial ownership of EU and EFTA investors
- Delimitation of the restricted sectors defined in article 7 bis.2 of Law 19/2003
- Delimitation of the characteristics of an investor that triggers an obligation to obtain authorisation
- Exemption of certain investments from authorisation
- Procedure: prior consultation
- Procedure: authorisation
- Information obligations
- Specific rules for investments in activities related to National Defence
Click here to read the detailed briefing.
For further information, please contact:
Jose Ramon Mourenza, Herbert Smith Freehills
jose.mourenza@hsf.com
