MS Corporate Services

An ADGM SPV may be created to hold an asset or sit within a larger corporate structure. Because it may have no employees or trading activity, it can look like a simple entity to maintain. It still has ongoing responsibilities. The work does not stop when the incorporation documents are issued. Keeping the SPV in Good Standing An SPV can run into compliance issues when ownership records are not updated, filing deadlines are missed or changes in the wider group are not reflected in the entity's records. This is why ongoing administration matters. The ADGM SPV setup process is only one part of maintaining the structure. What Needs to Be Monitored? Registered Office and Agent An ADGM SPV needs a registered office and appropriate agent arrangements. Statutory records also need to be maintained. Beneficial Ownership Beneficial ownership information should match the actual ownership structure. A transfer of shares, change in a parent company or change involving another ownership arrangem...

ADGM and DIFC are both used for establishing special purpose vehicles in the UAE. But choosing between them should not start with the question, “Which one is better?” The more useful question is, “Which one fits the structure?” An SPV may be used to hold company shares, real estate, intellectual property, investments or other assets. The right jurisdiction can depend on what the vehicle will hold and how it will connect with the rest of the group. ADGM SPV ADGM can suit a broader range of holding arrangements. An ADGM SPV can sit above operating companies, real estate, investments, intellectual property and family wealth. It can also sit alongside other ADGM structures. This can be useful where the group may grow or change over time. Businesses considering the jurisdiction can review the ADGM company and corporate structure services before deciding how the SPV should fit into the wider arrangement. DIFC SPV DIFC can make sense when the purpose of the SPV is clearly defined. Real estat...