Separate assets for special transactions

In order to conduct special business transactions without risk to the company´s nominal capital, one or more separate assets can be established to finance a certain activity. In practice, joint stock companies can divide their global capital into various portions, each with a specific objective.

Financial instruments can be issued for the purpose of business transactions, with rights specifically indicated. In order to ensure transparency, appropriate mechanisms are included regarding the advertising of such transactions and their separate accounting, as well as the appointment of an auditor in large-scale public offerings. Properties and other components of the separate assets are to be clearly specified in the statement of assets and liabilities of the company to ensure investors of a company´s good health. The establishment of a special assembly composed of holders of the securities issued for the special purpose is also envisaged. Profit from such transactions clearly constitutes capital that is separate from that of the company and can be paid to financers. In this way, dividends are distributed to specific recipients.