The Italian Cabinet adopted today a Law Decree (the “Decree”) introducing important measures aimed at stimulating the Italian economy. The Decree introduces, inter alia, new rules on: (i) the exemption from the limitations on the issuance of notes provided for in Article 2412, paragraph 1 of the Civil Code; (ii) the issuance by non-listed companies, other than banks and micro-sized enterprises (as defined by European Commission recommendation No. 2003/361 of May 6, 2003) of notes and commercial paper (cambiali finanziarie) which are not listed on a regulated market; (iii) commercial paper; and (iv) the tax regime applicable to notes and commercial paper issued by the non-listed companies mentioned under (ii) above.
The new regime promotes the issuance of notes and commercial paper by corporate issuers that are not listed on a regulated market, and their placement with professional investors, creating a competitive alternative to loan financing. It prevents direct or indirect shareholders of such issuers from subscribing to non-listed notes or commercial paper, and, as a consequence, promotes shareholders’ capitalization of the companies.
The attached memorandum provides a general overview of the new regime introduced by the Decree.
