Rule
A change of control — a share transfer, or a change of director, manager or trustee — in a TRNC company that owns or is acquiring TRNC immovable property is not always a purely ordinary corporate matter: under the Immovable Property Acquisition and Long-Term Lease (Aliens) Law, a foreign-to-foreign transfer of such a company's shares, or a change of its foreign director/manager/trustee, requires Council of Ministers permission with security vetting (publicly-listed companies exempt), and the Registrar of Companies must immediately notify the Ministry of Interior of any director/shareholder change at such a company. Where control shifts from foreign to TRNC-citizen ownership, fresh Council of Ministers permission is required for continued build-sell/investment use of the property.[1]
Exceptions
- This Rule states the STATUTORY TRIGGER and its conditions only. It must NOT be read or summarised as 'every share transfer in a property-owning company automatically requires a Permission to Purchase' — the trigger stated here is Council of Ministers permission plus a notification duty under the property-acquisition law's own provisions, a distinct mechanism from an individual buyer's PTP process.
- Whether an INCOMING individual shareholder additionally needs their own personal Permission to Purchase, separately from these company-level consequences, remains genuinely UNRESOLVED — see q-invest-acquisition-individual-ptp-on-share-purchase, still open.
- Indirect acquisition or control (e.g. through a chain of holding companies) was not independently researched and is not addressed here.
- Exact percentage thresholds distinguishing a qualifying 'change of control' from a minor shareholding movement were not independently confirmed beyond what these specific Articles state.
Applies to
- Who:
- Investors · Company shareholders · Buyers