Today, the Luxembourg Parliament adopted long-awaited Bill No. 5730 modernising Luxembourg company law.

Certain market practices now have a formal legal basis, and discussions on a number of questions have been put to rest. Freedom of contract and flexibility have, in keeping with Luxembourg tradition, been maintained while legal certainty has been enhanced.

The changes are expected to make Luxembourg even more attractive for multinationals, private equity firms and investors seeking to structure their investments internationally.

Companies will have two years from the publication date of the act to align their articles of association to the new statutory provisions.