With effect from 8 October 2004, it will be possible to establish a European company, a so-called SE, under the SE Regulation, no. 2157/2001 of 8 October 2001 on the statute for a European Company (SE), and directive 2001/86 adopted on the same date and complementing the statute on the involvement of employees.
If one were to express in one sentence the need for a common European company, the SE, it would be this: there is a need for a type of company which (A) is as uniform as possible from one member state to the next in order to allow businesses to enter known territory when using a foreign company of this type, and which (B) has the unique feature that the company can change nationality, i.e. it is able to move to another member state without the need to dissolve in the state from which it is moving and to re-establish ab initio in the state to which it is moving.
This article discusses the most important features of the regulation and the directive which companies and their advisers now have about two years to study.European Business Law Review