Law 15/2107 published on May 3, coming into force on May 4, 2017, prohibits the issue of securities in bearer form, as from its date of coming into force, altering the Code of Securities Law and the Code of Company Law.

The law foresees a temporary regime allowing the conversion, into nominative, of existing securities with bearer form, within a maximum deadline of six months. From such moment on, it is equally prohibited the transfer of securities with a bearer nature, as are also suspended the entitlements to any participation in the distribution of results associated to bearer securities.

The conversion will still be subject to further regulation from the Government, within the maximum of one hundred and twenty days counting from the entering into force of the law.

This diploma does not foresee any sanction for the default of its commands, the expectation being that this will be forthcoming in the regulation to be issued by the Government.

The objective of this measure is to contribute against money laundering.