The German Federal Government has proposed a draft law to amend the Stock Corporation Act (Aktiengesetz - AktG) on 7 January 2015. Amongst other things, the proposal includes the following:

  • Non listed German stock corporations may only issue bearer shares (Inhaberaktien) if effective share certificates are excluded, allow the issuing and the share certificate (Sammelurkunde) is deposited with a regulated central securities depository.
  • Stock corporations may issue convertible bonds converting debt capital into equity. 
  • In order to meet regulatory capital requirements more easily, stock corporations may issue preference shares (Vorzugsaktien) without a right for subsequent payment regarding unpaid dividends.  

Read the proposed legislation in German (PDF)