A hive in which assets are transferred to a company, possibly a shell, so that the shares of that company can then be sold. It may be more tax efficient for the end buyer to acquire the assets within a business structure rather than as a self-employed, but he or she does not want the bonds or the history of the original business. If you are investing in a company, whether it is yours or not, it is important that you are fully aware of the impact of the investment contract. An investment can be structured in equity or debt capital or in combination with both. We are able to advise you on the contracts made available or, alternatively, to establish a custom agreement for their specific purposes. “The most important feature of this agreement is that the seller does not give any guarantees. The risk for acquired assets is fully assumed by the buyer. An “hive-up” is an intragroup transfer of a company from a subsidiary to the parent company. This is the transfer of assets and the resumption of liabilities that constitute the divested transaction, not the transfer of the shares of the company. Hive up agreements are necessary when a company wishes to transfer its assets to its parent company and enter into agreements in which the company transfers its assets to a subsidiary.
These agreements are becoming more frequent with the increase in corporate restructuring in the current difficult economic situation. These are usually implemented through a detailed asset purhase contract. The succession rules allow the transfer of transactions under a common property at 75%, with the possibility of applying tax losses to the successor company and a tax-neutral transfer to capital allowances. The transfer of a business between members of the group is commonly referred to as “Hive down,” “hive up” or “hive across.” A spin-off house in which assets are purchased by a parent company so that the subsidiary can be sold or liquidated separately. Written decisions of members and the board of directors – as necessary to approve the excavation. Intragroup loans are often generated by the group`s restructurings, which transfer assets and assets from a subsidiary to its parent company, known as “Hive up”.