A Legal Entity Identifier (LEI) is a unique global code assigned to legal entities participating in financial transactions. Financial regulators use this code as a reporting tool and it is required to identify financial companies and funds. Various individuals, companies, and government entities that participate in financial transactions may be required to have an LEI number.

Why Use a Legal Entity Identifier Code?

Following the financial crisis in the 2000s, the International Organization for Standardization (ISO) developed the Legal Entity Identifier (LEI) to understand exposures at the legal entity level (rather than at parent-company level). Each unique 20-digit alphanumeric code connects vital information that allows clear identification of the entities participating in a financial transaction. LEI codes were brought in as part of a global directive for transparency and are essential to maintaining the integrity of financial institutions worldwide. To improve risk management and risk exposure of their clients, Banks and Financial Institutions around the world are starting to enforce rules that require corporate borrowers to obtain a Legal Entity Identifier (LEI number).

Do I Need to Apply for an LEI?

From the 1st January 2017, issuers that trade on a regulated market such as the Main Securities Market of the Irish Stock Exchange (ISE), whose Home Member State is Ireland, are required to obtain an LEI number. The LEI code needs to be included when filing regulated information via the ISEdirect system.

This applies to:

  • Issuers of equity securities
  • Issuers of debt securities
  • Closed-ended investment funds

Open-ended funds on the Main Securities Market and issuers that are traded only on the Global Exchange Market fall outside the scope of the TD and are not required to obtain the LEI code.

To ensure transactions are accurately reported, Regulators have mandated that capital market participants who trade over-the-counter derivatives must have an LEI number. However, it is likely that regulators and financial institutions will extend the requirement to other categories of traders. Therefore, banks could use LEI codes to issue loans, and corporations can use them to verify the identities of their sellers, suppliers, and other counter-parties.

How to Obtain a Legal Entity Identifier

LEI numbers are issued for a 12-month period and must be renewed annually. Irish entities can use their Registration Agents or an appropriate Local Operating Unit (LOU) for applications and any subsequent renewals of LEI codes.

Company Bureau can assist in obtaining or renewing an LEI number for your Irish entity. Applications require supporting documents of the issuer such as; Certificate of Incorporation, Memorandum and Articles of Association, Annual Report etc. Once an application is submitted the LEI GMEI operating unit will verify the information against public records, once verified, they will issue the LEI number.

For more information about our Legal Entity Identifier services, feel free to call us on 01-6461625 or email cosec@companybureau.ie.

Contact Us Now For Further Details

FAQ's

An LEI may be required for companies, investment funds, financial institutions, and other legal entities that participate in certain regulated financial transactions. Entities that require enhanced identification may need an LEI. As regulatory requirements evolve, more organisations may find that an LEI is necessary to conduct transactions or comply with reporting obligations.
The processing time for an LEI application depends on how quickly the required documentation can be verified. In most cases, applications can be processed relatively quickly once all supporting information has been submitted and validated. Delays may occur if documentation is incomplete or discrepancies are identified during the verification process.
The documents required can vary depending on the entity applying, but commonly include a Certificate of Incorporation, constitutional documents, annual reports, and other evidence confirming the legal status of the organisation. The issuing authority will verify the information against public records before approving the application.
An LEI is generally issued for a period of 12 months and must be renewed annually to remain active. Maintaining an active LEI is important because many financial institutions and regulators require the identifier to be up to date and valid. Failure to renew an LEI may result in restrictions on certain financial transactions or reporting activities, depending on the organisation’s regulatory obligations. If you need to renew your LEI number, talk to a member of our team to get the process started.