Joint Stock Company
Commonly known as a Closed Joint Stock Company (“BSC(c)”) and consisting of a minimum of two shareholders. Shares in such companies cannot be offered for sale to the public. As is the case with public shareholding companies, shareholders are liable for the company’s debts and obligations only to the extent of the value of their shares. The minimum share capital required is BHD 250,000 and there must be a minimum of three directors. The board of directors must comprise a number of independent and non-executive directors. A BSC(c) company can be 100% foreign owned but this is dependent on the business activity of the company.
BSC(c) companies must adhere to the Corporate Governance Code issued by the MOICT. There are further regulatory requirements on companies licensed or regulated by the Central Bank of Bahrain which may, amongst other things, increase the minimum share capital requirement and board composition.
The minimum capital requirements of a BSC(c) company undertaking financial related activities will depend on the requirements of the Central Bank of Bahrain, and will vary depending on the type of regulated activity the entity will engage in. A BSC(c) undertaking non-financial related activities has a minimum issued share capital of BHD 250,000
