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Cyprus – Registration of Pledges relating the Shares

Pursuant to an Announcement issued by the Department of the Registrar of Companies and Official Receiver of the Republic of Cyprus on 08/01/2019, and on the basis of legal advice received by the office of the Attorney General of the Republic, the Registrar of Companies shall cease accepting for registration several categories of charges.

Specifically, the Registrar of Companies will no longer accept for registration any pledge of share certificates of Cyprus Companies shares, any assignment of rights deriving from Cyprus company shares or any other charge on Cyprus company share certificates, company shares or rights deriving from shares in companies and any rights resulting from the pledge, assignment or charge, since these charges fall within the scope of the exceptions listed in Article 90 (2)(a) of the Cyprus Companies Law, Cap.113.

It is noted that up to now, it was a common practice to register such pledges and the Registrar of Companies would accept such registration, on a precautionary basis, despite the exception in our Companies Law.