A new Brazilian Normative Ruling issued in June 2020 has expressly authorized the conversion of civil associations into corporate entities, allowing new forms of investments and M&A transactions involving Brazilian football clubs.
Introduction - New Scenario for Investment in Brazilian Football Clubs
On 15 June 2020, the National Department of Corporate Registry and Integration (Departamento Nacional de Registro Empresarial e Integração - DREI), the federal body that regulates the public registries of corporate entities in Brazil, published new Normative Ruling no. 81/2020 (Normative Ruling), that has substantially changed the general guidelines for the public registry of corporate entities. The Normative Ruling has its main grounds in the Brazilian Economic Freedom Act (Law no. 13.874/2019), and due to such regulation, the market for investment in Brazilian football clubs has been indirectly but significantly impacted.
Due to the Normative Ruling, a brand new and unexpected possibility of converting
Football Legal is an independent media publishing football law contents on a daily basis
dedicated to all football law practitioners (lawyers, clubs, federations,
intermediaries, football stakeholders, etc.).
Register today and stay tuned to the latest legal news.
Why not join us?
