- Proposed changes to the UK limited partnership framework
- Original news
- What is the background to the LRO?
- What type of vehicle can benefit from the changes and will they apply automatically?
- What are the main changes that are being introduced?
- The introduction of a ‘white list’ of activities that can be undertaken by limited partners
- Capital contributions
- Winding up
- Removal of certain statutory duties
- Administration and information requirements
- Which changes do you think will have the most impact on the private equity industry?
- Do you think the ‘white list’ of activities covers the typical activities carried out by limited partners?
- How will the white list affect the extent to which investor limited partners are involved in decision making for a PLFP and do you think it will encourage them to demand more rights?
- How has the private equity industry reacted to the proposals and do you think there will be much take up of the PFLP status?
- Do the changes go far enough to maintain the UK limited partnership structure as a competitive option for European private equity and venture capital funds?
- Is there any indication that similar changes may be made in respect of all limited partnerships?
- When do the changes come into effect?
Corporate analysis: What is the current status and proposed impact of the Legislative Reform (Private Fund Limited Partnerships) Order 2017 (LRO)? Sharon Ayres, partner, and Alastair Dolman, associate, both at Gowling WLG, explain that the changes the LRO could initiate when it comes into force in April 2017 are, overall, to be welcomed. However, they point out that the changes may ultimately be short-lived, considering the call for a review of the UK limited partnership framework from the Department for Business, Energy & Industrial Strategy.
Sign in or take a trial to read the full analysis.
To continue reading this news article, as well as thousands of others like it, sign in to LexisPSL or register for a free trial