Senate repeals ban on alienation of state-owned shares in national companies and societies

The Senate adopted, on Monday, the draft law initiated by the Government to amend Law no. 173/2020 on some measures aimed at protecting national interests in economic activity which repeals the provision on prohibiting the alienation of state-owned shares to national companies and societies, to credit institutions, as well as to any other company in which the state has the quality of shareholder, regardless of the quota of share capital held. The bill also repeals the article which stipulates that "any ongoing operations regarding the alienation of state-owned shares in national companies and societies, as well as in other companies in which the state has the quality of shareholder shall be suspended for a period of 2 years". "The repeal of the mentioned provisions will allow the capitalization of the shares with a view to avoiding the serious harming of the social relations regarding the economic freedom of the operators in which the state has the quality of shareholder and the free movement of capitals. By diversifying the ownership, it is intended to ensure a return to a competitive situation in the market in which each national company and society, credit institution and any other company in which the state has the quality of shareholder aims to achieve certain objectives by alienating the shares held by the state," reads the bill's explanatory memorandum. The draft law will be debated by the Chamber of Deputies, the decision-making body in this case.AGERPRES(RO - author: Livia Popescu, editor: Antonia Nita; EN - author: Simona Iacob, editor: Maria Voican)