Declaration of no-objection – overview
Before you can perform specific actions or transactions, you need the approval of De Nederlandsche Bank (DNB) in the form of a declaration of no-objection (DNO).
There are three categories of DNOs:
- DNOs for qualified holdings in a financial undertaking as defined in the Wft. If you want to acquire or expand a qualifying holding of 10% or more in a financial enterprise you must apply for a DNO.
- DNOs for banks. Banks themselves are required to apply for a DNO if they plan to perform specific acts as described by law.
- DNOs for insurance companies. Insurance companies themselves are required to apply for a DNO if they want to reduce their own funds.
DNO for qualifying holdings
Under certain circumstances you or your company will need prior approval from DNB to acquire or expand a qualifying holding or majority shareholding in a financial enterprise. You or your company will then be required to apply for a DNO as referred to in Section 3:95 of the Financial Supervision Act (Wet op het Financieel Toezicht - Wft). Do you or your company want to acquire or expand a qualifying holding in a bank? Then you need to apply for approval to the European Central Bank (ECB) rather than to DNB.
DNO for banks
If your company is a bank having its registered office in the Netherlands, you will need to apply for approval to DNB prior to performing a number of acts mentioned in the law. Your company is required to apply for a DNO as referred to in Section 3:96 of the Wft.
See also: DNO for banks (Section 3:96 of the Wft)
DNO for insurance companies
If your company is an insurance company having its registered office in the Netherlands, you will in specific cases need prior approval from DNB for reducing equity capital. Your company is required to apply for a DNO as referred to in 3:97 of the Wft.
This section of Open Book on Supervision provides you with information about declarations of no-objection. You will also find explanatory notes to the concepts used and relevant sections of the law here.