Foreign companies can also choose the limited liability company for establishing subsidiaries in Malta. The Commercial Law in Malta provides for two types of limited liability companies, the private limited liability company and the public limited liability company. Our law firm in Malta can offer full information on the types of companies available for incorporation and their advantages.
The public limited liability company in Malta
Compared to the private limited liability company which is preferred by those opening small and medium-sized enterprises, the public limited liability company, shortly known as the PLC, is more appropriate for those seeking to start a large business in Malta. The main characteristics of the PLC in Malta are:
- it can trade on the Stock Exchange;
- it must have at least two shareholders in order to be registered;
- it must have at least two directors and a secretary;
- he minimum share capital of a public company must be close to 46,600 euros;
- at least 25 of the share capital must be deposited upon registration;
- the name of the company must contain the abbreviation PLC.
The public limited liability company in Malta can have more than 50 shareholders, compared to the private one where the limit is 50. Moreover, the minimum share capital to incorporate this kind of structure is EUR 46,500. and it can be submitted in EUR or other currency.
Our Maltese lawyers can offer more information on the requirements related to opening a public limited liability company in 2024.
How to register a public limited liability company in Malta in 2024
The Maltese public limited liability is mostly known as a joint stock company in other countries and large foreign investors set up this type of company in this country in order to have access to the capital markets in the EU. In order to register a PLC in Malta, the investor must comply with all the requirements mentioned above based on which they will have the memorandum and articles of association prepared, notarized by a public notary and filed with the Companies Registrar in Malta. Based on these documents the public limited liability company will be issued its certificate of registration.
One should note that a public limited liability company in Malta can offer shares to the public. However, such structure cannot issue any kind of application for its shares unless the enterprise is incorporated and the issuance implicates a prospectus in this sense.
Maltese public LLCs are suitable for big international and local businesses and projects. There is a large investment pool implicated, which is why such a structure can be listed on the stock exchange in Malta.
Accounting requirement for a public limited liability company
Regardless of the size of the public limited company (PLC), Maltese regulations mandate the appointment of a resident auditor, who is responsible for ensuring compliance with financial reporting requirements. Annually, the company must furnish a comprehensive set of financial statements, comprising a balance sheet, profit and loss statement, and statement of financial position. These documents serve to provide a clear overview of the company’s financial health and performance to stakeholders and regulatory authorities. Our Maltese accountants play a crucial role in assisting public limited companies (PLCs) in fulfilling their financial obligations. Our skilled accountants ensure compliance with Maltese regulations by providing expert guidance on the appointment of a resident auditor and the preparation of annual financial statements. They meticulously compile essential financial documents, including balance sheets, profit and loss statements, and statements of financial position, adhering to regulatory standards.
For assistance in drafting the statutory documents and filing them with the Trade Register in order to open a PLC in 2024, please contact our lawyers in Malta.