Malta Public Limited Company (PLC)?
A Public Limited Company (PLC) is a limited liability company whose shares can be offered to the general public and subsequently freely transferred/traded without the restrictions applicable to a private limited liability company (LTD). A Malta Public Limited Company can have its shares dematerialised and listed on the Malta Stock Exchange or any other Stock Exchange outside Malta. A Malta PLC can also have its shares dematerialised without being listed on a Stock Exchange, thereby easing the trading process of the shares in the company (e.g. by settling trades via Clearstream).
Benefits of a Public Limited Company
- Easier Access to Capital – A Malta PLC can raise capital by issuing shares to the public through an Initial Public Offering (IPO) or subsequent issues of shares
- Other Finance – A Public Limited Company may issue bonds to the public and maybe in a better position to acquire other finance solutions from banks
- Growth and Expansion – Easier access to finance may result in the better potential for growth and expansion
- Enhanced Standing – A PLC, especially if listed on a Stock Exchange, usually is subject to enhanced standards and corporate governance procedures which may improve its credibility and investor confidence
- Liquidity – Shareholders can buy and sell PLC shares freely and much more accessible than shares in an LTD
- Value of Shares – The value of shares in a PLC listed on a Stock Exchange can be easily verified
Requirements for the formation of a Malta Public Limited Company
The name of a Malta Public Limited Company must end with the words “Public Limited Company” or its abbreviation “PLC”. The proposed company name may be reserved with the Malta Registrar of Companies before the registration of the company. The Malta Registrar of Companies may refuse to accept a name that is the same as the name of another commercial entity or so similar that it could create confusion. Offensive or otherwise undesirable names may also be rejected.
Number of shareholders
You’re required to have a minimum of two shareholders in a Malta Public Limited Company.
Registered office and address
A Malta PLC must have a registered office in Malta.
Capital requirements for a Maltese company
The minimum authorised and issued share capital of a Malta Public Company is €46,587.47 of which at least 25% must be paid up.
The Currency of Share Capital
The currency of a Malta PLC may be denominated in Euro or any other convertible currency including US Dollars, Pound Sterling, etc.
The Board of Directors of a PLC is responsible for the running of the business and vested with the representation of the company. As mentioned above, a Malta PLC is required to have at least two Directors.
The Board of Directors is responsible for putting adequate corporate governance procedures and processes in place to ensure that the company operates following all relevant rules and regulations.
A statutory auditor must be appointed and must be a Maltese Resident. All companies in Malta must produce a set of financial statements and have these audited annually.
Malta Company Formation and Registration
Papilio Services are registered with the Malta Financial Services Authority as a Company Service Provider. We can provide services surrounding the formation of Malta companies and other legal entities such as:
- Arranging for a person to act as director/company secretary of a company
- Acting or arranging for a person to act as a partner of a partnership
- Providing a registered office, business correspondence or administrative address
- Offering other related services for companies, organisations and other legal entities in Malta such as bookkeeping, accounting, Malta tax advice and other back-office functions.
We guide clients through the whole process of setting up and administering a Malta Public Limited Company. We have years of experience dealing with dematerialising shares of a Malta PLC and listing a Malta Public Company on a Stock Exchange.
If you would like to arrange a meeting with our team to discuss this further, contact us today so we can advise you on the next steps.