Obtain a Legal Entity Identifier (LEI) for an Irish Company
A Legal Entity Identifier (LEI) is a unique global code assigned to legal entities that participate in financial transactions. This code is used as a reporting tool by financial regulators and is required for the identification of financial companies and funds. Various individuals, companies and government entities that participate in financial transactions may be required to have a 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 key information that allows clear identification of the entities participating in a financial transaction. LEI codes are were brought in as part of a global directive for transparency and are essential to maintaining the integrity of financial institutions worldwide. In order 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 a Legal Entity Identifier?
From the 1st January 2017, issuers that trade on a regulated market such as the Main Securities Market of the Irish Stock Exchange (ISE), and whose Home Member State is Ireland, are required to obtain a 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 with 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 need to have a 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) or for applications and any subsequent renewals of LEI codes.
Company Bureau can assist in obtaining or renewing a 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 firstname.lastname@example.org.Contact us now for further details