BVI News

More quality, higher-end financial services business being done in BVI

BVI Finance is reporting that the quantity and quality of business the territory receives in the financial services sector has shown a considerable increase for 2018.

A media release from the finance centre said nearly 1,000 higher-end limited partnerships were registered last year, which reflects a 4.4 percent increase from 2017.

“The strong year for registrations comes as the BVI enjoyed its strongest year for overall new incorporations in three years. The BVI recorded a total of 37,415 incorporations in 2018, up 15 per cent on 2017’s incorporations [of] 32,493 and up 18 per cent on 2016’s 31,769,” the release said.

Chief Executive Officer of BVI Finance Elise Donovan also said the territory continues to lead in merger and acquisitions, public listings, and innovative areas such as Initial Coin Offerings which, effectively, is a type of funding that happens when cryptocurrency becomes available for the public to invest in.

“More than 400,000 organisations recognise that our strong legal system, business-friendly laws and world-class corporate services sector means we are an indispensable hub for global trade,” Donovan noted in the aforesaid news release.

She continued: “We are delighted to see that 2018 was a strong year for incorporations as more businesses and individuals chose to take advantage of the strategic and administrative benefits that our global financial centre offers. The noted increase in the quality business happening on-island is a reflection of the type of businesses and professionals making the BVI stronger.”

The release also noted that the value of these businesses also rose.

“The strength of this BVI sector is exemplified by recent activity, such as the counsel provided by BVI-based law firm Ogier on a $350 million biopharmaceutical merger,” the release said.

“Appleby, another BVI-based law firm, recently acted as advisers on a private token sale, raising approximately $1 billion in just 10 days. Earlier this year Harneys, represented an Information Technology services provider on a $2 billion merger acquisition. This transaction set a new BVI record for the largest ever takeover of a publicly-listed BVI company by transaction value.”

The release also mentioned that Appleby also recently reported that the total value of merger and acquisitions in the territory rose by 25 percent in last year.

“The law firm found that 504 transactions worth $46.8 billion took place in 2018, up from $37.8 billion in 2017. The report also indicates 57 of the 2018 deals exceeded $1 billion, including nine mega deals exceeding $5 billion, leading to a significant rise in the total value of deals.”

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5 Comments

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  1. Cromwell says:

    We need to stop this feel good propaganda, miss Donovan just stated that the largest financial services provider in the BVI had recorded a 35% drop in incorporations for the first quarter of 2019. Our problems won’t be resolved by misrepresenting the facts.

    • Anonymous says:

      You people are just plain stupid. And you know what? You can’t fix stupid. The financial sector is over. Once beneficial ownership was mandated to become public the financial sector was finished. Teach your young to fish and farm. That’s what is left for you.

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  2. stars says:

    Keep the good news coming.

  3. Anonymous says:

    One word – Substance – I would love to know how BVI plans to satisfy the new act with over 400,000 corporations.

    In-scope companies and limited partnerships incorporated or formed prior to 1 January 2019 must comply with BVI economic substance requirements commencing no later than 30 June 2019.

    • Easy says:

      The BVI government is about to facilitate the industry that may come about due to these requirements.
      It will support better infrastructure, the viability of leading educational establishments, more variety of amenities, services and decent recreational spaces, the availability of class A office space and eventual first world telecommunications, the ability of suitably qualified persons to do business here and to make the BVI their home. All of that brings a range of business and training opportunities for BVI nationals who want to participate.

      Sorry, I meant that is what our competitors are already doing. It is so easy to redomicile a company.

      Andrew, your move.

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