THE 5% HOLDING LIMIT FOR THE SIFS HAS BECOME OFFICIAL The SIFs say they will not summon a special shareholder meeting to change the articles of incorporation of the five SIFs

The law concerning the holding limit in the SIFs from 1% to 5%came into effect after being published in the Official Gazette on Tuesday.

Since the date of its coming into effect, the five financial companies have 60 days to summon the general shareholder meeting and to change their bylaws, or their articles of incorporation, as the case may be.

Mihai Fercală, the president of SIF3 Transilvania, said that he doesn't intend to summon a General Shareholder Meeting. "I see no need to summon the General Shareholder Meeting, considering the fact that the articles of incorporation have already been amended by way of the law. This would mean pointless expenses", he said.

Petre Pavel Szel, the chairman of "SAI Muntenia", who manages SIF4 Muntenia, said that the amendment of the articles of incorporation will be discussed, on principle, during the General Shareholder Meeting which will discuss the balance sheet.

The law, passed by the president of Romania, stipulates that if the SIFs do not amend their articles of incorporation or bylaws within 60 days, they will be considered as having been "amended by default, in order to comply with the increased 5% holding limit".

Before receiving the favorable vote of the Parliament, on December 15th, the legislative initiative of Ovidiu Marian was postponed many times. After receiving the favorable license of the Budget and Finance Commission of the Chamber of Deputies, the project was supposed to be discussed on November 21st, but, claiming they did not have enough time, the deputies postponed the debate until November 28th, but it wasn't discussed then either.

The raising of the holding limit will allow investors to own blocks of up to 5% in any of the five SIFs.