30 November 2021
To mark the occasion of the UAE's 50th anniversary, the UAE has embarked upon the largest legislative reform in the country's history, with the aim of advancing the country's legal framework and bolstering economic growth.
As part of this major reform, Federal Law by Decree No 32 of 2021 (the "New Commercial Companies Law") has been introduced. The New Commercial Companies Law is intended to repeal and replace the existing Federal Law No 2 of 2015 (as amended) (the "Existing Commercial Companies Law") and will come into force on 2 January 2022.
Clifford Chance has received early sight of the New Commercial Companies Law and we share some initial thoughts in this briefing on certain key changes that may result in greater scope for public mergers and acquisitions transactions and financings, as well as other changes that will provide greater flexibility in a number of contexts, including governance and corporate reorganisations.
We will continue to monitor developments of the law (including implementing regulations) and will provide a more detailed briefing in due course.