Special Purpose Vehicles

Foreign investors often hold their interests in a UAE business through a traditional offshore structure, such as the British Virgin Islands. While these jurisdictions offer many benefits, including a common law legal framework and substantial track record, the UAE now offers several alternative offshore structures which provide similar benefits on a more competitive basis.

The two most sophisticated jurisdictions in the UAE for SPVs are the Dubai International Financial Centre (DIFC) and the Abu Dhabi Global Market (ADGM). The DIFC and ADGM SPVs are traditionally used to hold significant investments, such as real estate, and for raising investment funds. More commonly, ADGM SPVs are used by foreign investors to hold their interests in mainland companies in order to take advantage of the legal and regulatory framework which facilitates the efficient formation of trusts.

This framework affords foreign investors greater protection and control over their UAE businesses as it enables them to more easily effect changes in the trust assets, such as the transfer of the local shareholding in an LLC, without the need for a Notary Public.

For foreign investors seeking to gain greater protection and control over their UAE businesses and/or assets, we can provide corporate nominee services through a DIFC or AGM SPV pursuant to the trust arrangements which afford you:

* a more robust legal and regulatory framework
* greater protection from local inheritance laws
* greater flexibility over the majority shareholding in mainland companies
* the ability to enter markets which are reserved for UAE nationals
* a clear exit strategy

For more information on our corporate nominee services using the SPV platform please contact enquiries@cbddubai.com.