When it comes to structuring private equity deals, Luxembourg is recognised as a particularly advantageous jurisdiction thanks to its flexible legal, its tax environment and also through the various structures available:
SOPARFI is a vehicle dedicated to private equity deals. The SOPARFI can acquire private equity investments in an efficient tax manner with a minimal legal and administrative burden.
Special limited partnership which is a vehicle dedicated to co-investment, partnership investment. It is tax transparent and has become one of the most flexible and sought-after company structures that promoters set up in Luxembourg. Visit our SLP Website to find our more about this solution.
SICAR is a regulated investment fund specialised in capital risk.
Issuance of Equity or Debt Instruments
Promoters, investors and private equity firms may prefer Luxembourg for a
variety of reasons:
No minimum capital for partnerships. The minimum capital for an S.A./S.C.A. is EUR 30.000 (minimum ¼ paid in) and for a S.à r.l. EUR 12.500 (fully paid in) and these can be represented in a non-euro currency
Investors can incorporate the company by contribution in cash or in kind. No capital duty applies on incorporation general partnership vehicles can be incorporated
An external auditor valuation is mandatory only for SA/SCA but not for a S.à r.l. nor for partnerships the vehicle's shares may be listed on the Luxembourg Stock Exchange (or on any stock exchange abroad)
Capital premium may be used. Contributions must not necessarily be represented by an increase in capital or issuance of shares
For more information regarding the different structures, please contact
Creacom@creatrust.com or by telephone to Corporate Department: on 00 352 277 297 40.
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