Share your needs with us, get contacted by law firms.
Free. Takes 2 min.
Or refine your search by selecting a city:
Refine your search by selecting a city.
Acquisition and leveraged finance law in Greece governs the legal and financial framework for funding the acquisition of companies, particularly through borrowed capital. Leveraged finance typically involves using a significant amount of debt to buy a business, with the acquired company’s assets or cash flows serving as collateral. In Greece, such transactions are influenced by both domestic legal requirements and broader European Union regulatory principles. This field combines company law, banking and finance regulations, tax considerations, and collateral arrangements to facilitate complex transactions for both domestic and international investors.
A lawyer specializing in acquisition or leveraged finance can be essential in several scenarios:
Several key local laws and regulations are relevant to acquisition and leveraged finance in Greece:
Acquisition finance is the funding provided, usually through loans or other credit facilities, for the purpose of buying all or part of a business. It is commonly used in mergers and acquisitions.
Leveraged finance involves taking on significant debt to acquire a company, using assets of the target or acquiring company as security. This is typically done through syndicated loans or bond issues subject to Greek law.
Yes, companies in Greece can provide various forms of collateral, such as pledges over shares, receivables, or bank accounts. However, financial assistance rules may limit the ability of a target company to use its assets as collateral.
Yes, Greek company law generally prohibits or restricts a company from providing loans, guarantees, or security for the acquisition of its own shares, with some exceptions and specific procedures required.
Due diligence in Greek acquisition finance typically covers corporate status, property and asset ownership, existing debt and liabilities, regulatory compliance, tax status, and any potential legal disputes.
Loans may be structured as senior or mezzanine facilities, often with complex security packages. Loan agreements adhere to local as well as international standards, sometimes involving English law components for cross-border transactions.
Depending on the sector and transaction size, acquisitions may require clearance from the Hellenic Competition Commission, the Bank of Greece, or, in listed company deals, the Hellenic Capital Market Commission.
Yes, cross-border leveraged buyouts occur regularly, particularly involving international private equity funds. These are governed by a mix of Greek and foreign law, and careful coordination is required.
Greek tax laws affect the deductibility of interest payments, treatment of loan fees, transfer taxes, and potential withholding taxes on cross-border payments. Proper structuring is crucial to optimize tax outcomes.
If a borrower defaults, creditors can enforce their security through judicial or out-of-court proceedings. The Greek Bankruptcy Code and pre-insolvency procedures provide frameworks for restructuring, including creditor negotiations and court-sanctioned plans.
If you are considering an acquisition or leveraged finance transaction in Greece, start by documenting your objectives and any initial terms agreed with the other parties. Compile all available legal and financial documents related to the target company and the proposed financing. When seeking legal advice, look for lawyers with expertise in acquisition finance, Greek company law, and cross-border transactions. Prepare questions in advance about due diligence, collateral, required approvals, and risk mitigation. Professional legal support will guide you through negotiations, contract drafting, and compliance checks, helping you complete your transaction efficiently and in accordance with Greek law.
