Company acquisition in the Kingdom of Denmark is a great idea as companies registered in Denmark have direct access to the EU market, which covers over 100 million high net worth consumers.
According to EU rules
Most large-scale deals need to respect EU legislation, especially with regard to merger control. In order to initiate a financial merger in Denmark, prior government approval is required.
To gain entry to the Danish securities market, you should also read the Stock Exchange Rules, including corporate governance advice in Denmark, as well as the EU Market Abuse Regulations and Prospectus.
If you wish to register a company on the Nasdaq Copenhagen market, then the Takeover Order will apply.
Meanwhile, our legal advisors provide clients with expert assistance in preparing a prospectus for entering the Danish securities market.
International transactions
The Kingdom of Denmark has agreements with many countries in Asia, Europe and America, including the CIS countries, to avoid double taxation. The country does not have any special rules for international transactions. For all transactions, EU cross-border merger law applies.
International M&A transactions in Denmark are often tax related and it is common practice to acquire a Danish company through one or more holding companies incorporated in jurisdictions with favorable tax laws.
By the way, Denmark is known for its world's lowest level of bureaucracy.
Registration may be required in the following cases:
- If share purchase in a publicly traded company in Denmark by one shareholder is 90%, a request to delist the shares in the relevant regulated market has to be submitted.
- A listed company in Denmark must be registered with the Danish Financial Supervisory Authority. Registered information can only be verified by government authorities.
- In the course of the assets transfer all property rights must be registered with the Danish Land Registry. However, the highest registration fee is payable for property rights and mortgages. The registration of TM in Denmark, as well as registration of a patent in Denmark, require amendments to the registered information.
Final word
Business acquisition in Denmark seems to many an unattainable dream, however, unlike many other countries, it is actively supporting small and medium businesses building a tax policy with maximum respect for the interests of business owners and managers, and issuing additional subsidies for their development. Denmark offers a plethora of investment opportunities. Foreign investors wishing to start a business in this highly developed Scandinavian country have several options, including the registration of a new company, the purchase of a functioning company, and M&A.
For more detailed information on this topic, please contact our specialists at the contacts indicated on the site. Do not hesitate to also fill out an application form to schedule a consultation on structuring public M&A deals in Denmark and anywhere in the EU. Our company provides a full range of legal services for M&A agreements, as well as other cross-border projects. We implement best international practices and experience taking into account the specifics of legislation in the jurisdiction of your choice.
