{"id":994,"date":"2019-02-27T13:17:06","date_gmt":"2019-02-27T12:17:06","guid":{"rendered":"http:\/\/wordpress.p497547.webspaceconfig.de\/?p=994"},"modified":"2019-03-18T15:36:12","modified_gmt":"2019-03-18T14:36:12","slug":"what-is-a-share-deal","status":"publish","type":"post","link":"https:\/\/traumannconsulting.com\/en\/what-is-a-share-deal\/","title":{"rendered":"What is a share deal?"},"content":{"rendered":"

[vc_\u200brow css_\u200banimation=\u201d\u201d row_type=\u201crow\u201d use_row_as_full_screen_section=\u201cno\u201d type=\u201cgrid\u201d angled_section=\u201cno\u201d text_align=\u201cleft\u201d background_image_as_pattern=\u201cwithout_pattern\u201d z_\u200bindex=\u201d\u201d kswr_row_top_decor_enabled=\u201cfalse\u201d kswr_row_bottom_decor_enabled=\u201cfalse\u201d][vc_column width=\u201c1\/4\u201d css=\u201d.vc_custom_1551088779656{padding-top: 3% !important;padding-bottom: 3% !important;}\u201d][\/vc_column][vc_column width=\u201c3\/4\u201d css=\u201d.vc_custom_1551088786847{padding-top: 3% !important;padding-bottom: 3% !important;}\u201d][vc_column_text]<\/p>\n

Pros and cons of the share deal<\/span><\/h2>\n

[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]Share deal means sale of the shares of a com\u00adpa\u00adny wit\u00adhin the mea\u00adning of sec\u00adtion 453 BGB<\/span>, so a legal purcha\u00adse of pre\u00adven\u00adti\u00adve natu\u00adre and a trans\u00adfer of shares by way of assign\u00adment. The share deal means for the buy\u00ader a uni\u00adver\u00adsal suc\u00adces\u00adsi\u00adon, i.e. a com\u00adple\u00adte tran\u00adsi\u00adti\u00adon of exis\u00adting rights and obli\u00adga\u00adti\u00adons in par\u00adti\u00adcu\u00adlar fis\u00adcal nature.[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]<\/p>\n

Bene\u00adfits of share deals<\/span><\/h3>\n

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    \n
  • A rela\u00adtively simp\u00adle deter\u00admi\u00adna\u00adti\u00adon of the object of purcha\u00adse<\/li>\n
  • All con\u00adtracts shall remain unaf\u00adfec\u00adted<\/li>\n
  • The sel\u00adler is left with no cor\u00adpo\u00adra\u00adte coat<\/li>\n
  • In regards to the Labour Code no indi\u00advi\u00addu\u00adal \u2013 or group-legal regu\u00adla\u00adti\u00adons are affec\u00adted, howe\u00adver the\u00adre is duty to inform the Eco\u00adno\u00admic Com\u00admit\u00adtee accord\u00ading to \u00a7 106 para 2 BetrVG, as far as such a com\u00admit\u00adtee exists<\/li>\n
  • Shares are gene\u00adral\u00adly free for sale (\u00a7 151 GmbHG), unless the\u00adre are restric\u00adtions impo\u00adsed by the com\u00adpa\u00adny con\u00adtract<\/li>\n
  • AG<\/span>: basi\u00adcal\u00adly free dis\u00adpo\u00adsal of shares (excep\u00adti\u00adon regis\u00adtered shares with restric\u00adted trans\u00adfer, see \u00a7 68 para 2 AktG). Appro\u00adval of the com\u00adpa\u00adny by sta\u00adtu\u00adte. In cer\u00adtain cases stock\u00adhol\u00adders mee\u00adting con\u00adsent requi\u00adred (chan\u00adge of cor\u00adpo\u00adra\u00adte pur\u00adpo\u00adse, sec\u00adtions 23 para) 3 No. 2, 179 para 1 Ger\u00adman Stock Cor\u00adpo\u00adra\u00adti\u00adon Act as well as when sel\u00adling essen\u00adti\u00adal parts of the com\u00adpa\u00adny, see Holz\u00adm\u00fcl\u00adler doc\u00adtri\u00adne.<\/li>\n<\/ul>\n

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    Can be detri\u00admen\u00adtal to the share deal:<\/span><\/h3>\n

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      \n
    • Taking over all and the\u00adre\u00adfo\u00adre also unknown lia\u00adbi\u00adli\u00adties<\/li>\n
    • Bin\u00adding to ear\u00adlier decisi\u00adons of the organ<\/li>\n
    • Pos\u00adsi\u00adble impact of sec\u00adtion 37 GWB<\/span> appro\u00adval requi\u00adre\u00adment of natio\u00adnal and Euro\u00adpean anti\u00adtrust aut\u00adho\u00adri\u00adties<\/li>\n
    • Form requi\u00adre\u00adment: Nota\u00adriz\u00ada\u00adti\u00adon of assign\u00adment of the shares of GmbH<\/li>\n
    • Lis\u00adted AG<\/span>:mandatory public offer to remai\u00adning share\u00adhol\u00adders in a share purcha\u00adse of min. 30%  (\u00a7\u00a7 33f Wp\u00dcG)<\/li>\n
    • Be purcha\u00adsed cer\u00adtain packa\u00adges of shares, the acqui\u00adrer is sub\u00adject to cer\u00adtain repor\u00adting and infor\u00adma\u00adti\u00adon obli\u00adga\u00adti\u00adons<\/li>\n
    • The lia\u00adbi\u00adli\u00adty risks of share deals are deter\u00admi\u00adned by the legal form of the com\u00adpa\u00adny being sold:\n
        \n
      • GBR<\/span>, OHG<\/span> per\u00adso\u00adnal lia\u00adbi\u00adli\u00adty for all old lia\u00adbi\u00adli\u00adties (\u00a7 130 HGB<\/span>).<\/li>\n
      • GmbH &<\/span> Co. KG<\/span>, KG<\/span>: the gene\u00adrall part\u00adner is liable for all old debts with his ent\u00adi\u00adre assets, limi\u00adted part\u00adners are liable to the out\u00adside up to the amount of their lia\u00adbi\u00adli\u00adty amount regis\u00adtered in the com\u00admer\u00adcial regis\u00adter<\/li>\n
      • GmbH, no per\u00adso\u00adnal lia\u00adbi\u00adli\u00adty accord\u00ading \u00a7 13 Abs. 2 GmbHG<\/li>\n
      • AG<\/span>, lia\u00adbi\u00adli\u00adty based on the company\u2019s assets only, see \u00a7 1 Abs. 1 Ger\u00adman Stock Cor\u00adpo\u00adra\u00adti\u00adon Act<\/li>\n<\/ul>\n<\/li>\n
      • <\/li>\n<\/ul>\n

        [\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]Still, the effects of the Insol\u00adven\u00adcy Act to note for com\u00adpa\u00adnies in cri\u00adsis.<\/strong>[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]<\/p>\n

        Effects of share deals on the tran\u00adsac\u00adtion<\/span><\/h3>\n

        [\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]The uni\u00adver\u00adsal suc\u00adces\u00adsi\u00adon and the asso\u00adcia\u00adted risks lead to a detail\u00aded and cost-inten\u00adsi\u00adve Due Dili\u00adgence, as well as to exten\u00adsi\u00adve lia\u00adbi\u00adli\u00adty and war\u00adran\u00adty requi\u00adre\u00adments. The\u00adse lia\u00adbi\u00adli\u00adties and war\u00adran\u00adties have usual\u00adly limi\u00adta\u00adti\u00adon peri\u00adods of 6 mon\u00adths to 2 years and are backed through purcha\u00adse pri\u00adce\u00adre\u00adten\u00adti\u00adons, gua\u00adran\u00adtees or escrow accounts, or  by so-cal\u00adled war\u00adran\u00adty and indem\u00adni\u00adty insuran\u00adces. This lia\u00adbi\u00adli\u00adty and gua\u00adran\u00adtee claims can some\u00adti\u00admes be rela\u00adti\u00advi\u00adzed by de minimis\u2011, bas\u00adket\u00adball \u2013 and CAP<\/span> clau\u00adses. But the effect remains, that signi\u00adfi\u00adcant shares of the purcha\u00adse pri\u00adce \u2013 this can go up to 100%  \u2013 are avail\u00adab\u00adle to the sel\u00adler in a restric\u00adted or time off\u00adset way. Claims of the buy\u00ader, which may lead to a reduc\u00adtion in purcha\u00adse pri\u00adce often resultt from tho\u00adse gran\u00adted gua\u00adran\u00adtees and liabilities.[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]<\/p>\n

        Tax impli\u00adca\u00adti\u00adons of the share deal<\/span><\/h3>\n

        [\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]There are two major draw\u00adbacks of a share deal, espe\u00adcial\u00adly in com\u00adpa\u00adnies with los\u00adses, the\u00adse los\u00adses perish accord\u00ading to \u00a7 8 c KStG whol\u00adly or part\u00adly. In addi\u00adti\u00adon, the acqui\u00adrer has asset cos\u00adts under the share purcha\u00adse agree\u00adment, but tho\u00adse are initi\u00adal\u00adly not tax-deduc\u00adti\u00adble or deduc\u00adti\u00adble \u2013 at least in the Ger\u00adman tax law. The only way would be \u201cto lift\u201d the hid\u00adden reser\u00adves of the sel\u00adling com\u00adpa\u00adny befo\u00adre the actu\u00adal purcha\u00adse, so that the purcha\u00adser has in the acqui\u00adred com\u00adpa\u00adny a hig\u00adher poten\u00adti\u00adal of depre\u00adcia\u00adti\u00adon. This \u201clif\u00adting\u201d of hid\u00adden reser\u00adves is howe\u00adver as well as impos\u00adsi\u00adble accord\u00ading Ger\u00adman balan\u00adce sheet and tax law without an upstream sales and con\u00adver\u00adsi\u00adon process.[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]On the sel\u00adlers side, the capi\u00adtal gain is sub\u00adject to dif\u00adfe\u00adrent taxa\u00adti\u00adon,  depen\u00adding on the sel\u00adlers cor\u00adpo\u00adra\u00adte form. If the sel\u00adler is a cor\u00adpo\u00adra\u00adti\u00adon the capi\u00adtal gain is gene\u00adral\u00adly tax-free. Sin\u00adce 2004 this tax exemp\u00adti\u00adon has been redu\u00adced again, i.e 5% of the tax-free capi\u00adtal gains are con\u00adsi\u00adde\u00adred non-deduc\u00adti\u00adble ope\u00adra\u00adting expen\u00adses. For for\u00adeign share\u00adhol\u00adders, the taxa\u00adti\u00adon is regu\u00adla\u00adted through the dou\u00adble tax trea\u00adties with the respec\u00adti\u00adve country.[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]For natu\u00adral per\u00adsons, the capi\u00adtal gain will be taxed after the par\u00adti\u00adal inco\u00adme pro\u00adce\u00addu\u00adre, sin\u00adce 2009. I.e., with invest\u00adments of more than 1% of the capi\u00adtal of the com\u00adpa\u00adny wit\u00adhin the last 5 years, 60% of the capi\u00adtal gains with the per\u00adso\u00adnal tax rate are tax\u00adable, 40% are exempt from tax. Ana\u00adlog, the expen\u00adses that are rela\u00adted to the sale are taken into account at 60%. The soli\u00adda\u00adri\u00adty surch\u00adar\u00adge is added respectively.[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]<\/p>\n

        Wrap up\u2026.<\/span><\/h3>\n

        [\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]From our point of view and expe\u00adri\u00adence, depen\u00adding on of the cour\u00adse the indi\u00advi\u00addu\u00adal situa\u00adti\u00adon of a com\u00adpa\u00adny, the net value achie\u00adved in a share deal may be lower than in an asset deal, due to the tax tre\u00adat\u00adment of share deals as well as the lia\u00adbi\u00adli\u00adties and gua\u00adran\u00adtees to sub\u00admit. This state\u00adment is limi\u00adted howe\u00adver to SME<\/span>\u2019s. In addi\u00adti\u00adon, for\u00adeign medi\u00adum-sized buy\u00aders feel some\u00adti\u00admes uncom\u00adfor\u00adta\u00adble in regards to the poten\u00adti\u00adal pit\u00adfalls of the Ger\u00adman tax and cor\u00adpo\u00adra\u00adte law.. For lar\u00adger com\u00adpa\u00adnies, a share deal is recom\u00admen\u00added for rea\u00adsons of certainty.[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]At the level of the share\u00adhol\u00adders, a share deal may lead to a hig\u00adher tax bur\u00adden. This among other things due to the absence of loss car\u00adry for\u00adwards and the no lon\u00adger exis\u00adting pos\u00adsi\u00adbil\u00adty to rai\u00adse hid\u00adden reserves.[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][vc_column_text]This con\u00adtri\u00adbu\u00adti\u00adon can descri\u00adbe only basic effects of a share deals. Depen\u00adding on the con\u00adstel\u00adla\u00adti\u00adon, the\u00adre are through an intel\u00adli\u00adgen\u00adte tran\u00adsac\u00adtion con\u00adcept pos\u00adsi\u00adbi\u00adli\u00adties to opti\u00admi\u00adze and to com\u00adbi\u00adne the bene\u00adfits of share and asset deal.[\/vc_column_text][vc_separator type=\u201ctransparent\u201d thickness=\u201c15\u201d up=\u201c0\u201d down=\u201c0\u201d][\/vc_column][\/vc_row]<\/p>\n","protected":false},"excerpt":{"rendered":"

        Share deal means sale of the shares of a com\u00adpa\u00adny wit\u00adhin the mea\u00adning of sec\u00adtion 453 BGB<\/span>, so a legal purcha\u00adse of pre\u00adven\u00adti\u00adve natu\u00adre and a trans\u00adfer of shares by way of assign\u00adment. The share deal means for the buy\u00ader a uni\u00adver\u00adsal suc\u00adces\u00adsi\u00adon, i.e. a com\u00adple\u00adte tran\u00adsi\u00adti\u00adon of exis\u00adting rights and obli\u00adga\u00adti\u00adons in par\u00adti\u00adcu\u00adlar fis\u00adcal natu\u00adre.<\/p>\n","protected":false},"author":1,"featured_media":981,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"wp_typography_post_enhancements_disabled":false,"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0},"categories":[24],"tags":[],"_links":{"self":[{"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/posts\/994"}],"collection":[{"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/comments?post=994"}],"version-history":[{"count":0,"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/posts\/994\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/media\/981"}],"wp:attachment":[{"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/media?parent=994"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/categories?post=994"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/traumannconsulting.com\/en\/wp-json\/wp\/v2\/tags?post=994"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}