The Companies (Miscellaneous Provisions) Act, 2009 (the “Act”) was passed in Ireland enabling non-Irish fund companies to redomicile into Ireland on the basis that the migrating fund company will continue its existence as a company registered under Irish law. Fund companies will only be permitted to redomicile to Ireland if the laws of their jurisdiction of domicile permit both outward redomiciliation (and de-registration) and inward redomiciliation of the fund companies. Under the Act, the Minster for Enterprise, Trade and Innovation in Ireland (the “Minister”) has powers to prescribe certain countries as those whose laws are substantially similar to Irish law to enable fund companies from those countries to redomicile and continue operating in Ireland.

On 7 September 2010, Minister prescribed specific countries from which fund companies domiciled in those countries can redomicile to Ireland as follows: British Virgin Islands, the Cayman Islands, Jersey, Guernsey, Bermuda and the Isle of Man. Other countries and jurisdictions may be prescribed in due course.

The prescription of these countries and the signing of the relevant commencement orders bringing the redomiciling mechanism into effect is a very welcome development. The redomiciling mechanism under the Act is an important feature of Ireland’s contribution to the international funds industry and it demonstrates Ireland’s commitment to offering a regulated and comprehensive international base for global asset managers.

This initiative has been industry lead and William Fry has had a close involvement in developments leading to the publication of the Act and the work undertaken to have the first list of countries prescribed and commencement orders signed.