What is participation capital?

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Antwort

Participation capital is a special form of equity that Swiss joint-stock companies may create under Art. 656a et seq. CO. It is formed through the issuance of participation certificates and qualifies as equity even though it carries no voting rights. Participation capital allows a company to strengthen its equity base or attract new investors without diluting existing shareholders’ voting power. Distributions on participation capital are made only if the general meeting decides to pay dividends, preserving the company’s financial flexibility.

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FAQ

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Is the Communication Generator free to use?

Yes. The Communication Generator is free to use.

Does every shareholder or member qualify as a beneficial owner?

No. The fact that a company requests information from a shareholder or member does not automatically mean that this person is a beneficial owner. Indirect structures, acting in concert and other means of control may also be relevant.

Does the Communication Generator identify the beneficial owners?

No. The generator supports communication and information gathering. The actual assessment of who qualifies as a beneficial owner and who must be reported to the transparency register takes place afterwards. Konsento’s Transparency Register Reporting Assistant can be used for this assessment.