By Priscila Turchetto
PLBrasil Group | August 7, 2019
Provisional Measure No. 892, of August 5th, 2019, determined that publicly traded Companies should publish mandatory documents only through the Internet, altering the necessary formalism established by the Brazilian Corporate Law (Law 6.404/76), such as convening of meetings, notices to shareholders, management reports and financial statements, among other documents.
Publications made through the Internet must contain digital certification and be available on the Company’s website and at the website of the Brazilian Securities Commission (CVM) and the Stock Exchange (B3), without charging any value for the publication.
Prior legislation required the publications to take place at the Official Gazette and in a wide-circulation newspaper in the location of the Company’s headquarters.
The rules related to the publication and disclosure of acts of privately held corporations (whose shares are not traded on the stock exchange) will continue to be disciplined by the Ministry of Economy, in a separate normative act.
The provisional measure will be effective on the first day of the following month of the publication of the acts of the Ministry of Economy and the CVM, regulating the changes in the Brazilian Corporate Law.
We understand that the new legislation brings important advances regarding the digitalization of processes and there will be a significant decrease in the expenses involved with publications. Finally, this change will bring greater agility to the actions of Corporations, following a trend of debureaucratization signaled in the current year.