Introduction

1. Greece has implemented the Regulation, albeit with a significant delay, by Law 3412/2005 establishing a framework for the formation and operation of SEs (hereinafter ‘the SE Act’).

The SE Act entered into force on 4 May 2006, following the issuance of presidential decree 91/2006 on the involvement of employees in the European company (hereinafter the ‘presidential decree’), intended to harmonise Greek law with the provisions of Council Directive 2001/86/EC supplementing the Statute for a European company with regard to the involvement of employees.

Reasons to opt for an SE

2. The SE has a number of advantages over national corporate forms, the first being enhanced mobility, as SEs can move across borders without having to dissolve and wind up. It has also been acknowledged that the creation of an SE may offer participating companies the opportunity to simplify their organisation and reduce their administrative costs, as they will be able to use the same form of legal entity in each country in which they conduct business. This enhanced freedom of movement is expected to maximise companies' ability to take full advantage of trading possibilities within the internal market and increase their competitiveness within a large-scale market economy. The SE may also provide an alternative vehicle for cross-border joint ventures and mergers.

In addition, the SE offers, as stated in the explanatory memorandum to the SE Act, a well-defined legal framework for cross-border businesses, which could lead to heightened protection for minority shareholders and creditors.