The European Commission has announced that on 9 April, it will adopt a company law and corporate governance package of measures which is expected to include:
- a proposal to revise the Shareholder Rights Directive to tackle certain corporate governance shortcomings in European listed companies, mainly relating to insufficient engagement of shareholders and lack of adequate transparency;
- a proposal for a Directive on single-member companies to make it easier to set up companies with a single shareholder across the EU; and
- a Commission Recommendation to improve corporate governance reporting by listed companies.
The aim of this package of measures is to improve the corporate governance of companies listed on the stock exchange, which in turn will help to increase the competitiveness and long-term sustainability of these companies, and to provide cost efficient company law solutions for SMEs which operate across borders.
This initiative follows the 2012 Action Plan on European company law and corporate governance.