On the other hand, the Banking Superintendency, through Concept 97008759-0 of 1.997, determined that when a shareholder pretends to donate or encumber all or part of its shares in a financial institution in which a right of first refusal is established in the by-laws, it is not necessary to follow the specific procedure established in article 407 of the Code of Commerce in order to comply with the right of first refusal. However, in case that the donation refers to shares of a financial institution supervised by the Banking Superintendency in a percentage of 10% or more of the shares of such institution, the person making the gift must obtain a prior authorization from that Superintendency.
Prepared by Paula Samper and Jorge Baron from Gomez Pinzon & Asociados. These notes are intended to provide only a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
GOMEZ PINZON & ASOCIADOS Carrera 9 No. 73-24 Pisos 1, 2, 3 y5 Santafe de Bogota, Colombia Telephone: 571 - 310 7055/5066 Facsimile: 571 - 310 6646/6657 http://ourworld.compuserve.com/homepages/GOMEZP_LAW