Documents and reports on share repurchase by public company in Vietnam

The latest stock repurchase report document for public companies 2021 (Illustration)

1. Documents for share repurchase by a public company according to Clause 1, Article 36 of Vietnam's Law on Securities

Documents of the report on share repurchase for a public company in this case include:

- A report on the share repurchase according to the Form in Appendix 35 issued with Vietnam's Circular 118/2020/TT-BTC;

- A decision of the General Meeting of Shareholders to approve the share repurchase and the repurchase plan;

- The document confirming the transaction of the securities company, unless the repurchasing company is a member of VSE;

- A decision of the Board of Directors to approve the share repurchase plan;

- The latest audited financial statement according to regulations;

- Documents proving that the company has sufficient funds to repurchase shares. If a public company's parent company uses the share capital surplus, development investment fund, or other fund to repurchase shares, the capital source shall be based on the parent company's financial statements. If a public company is the parent company and uses undistributed after-tax profits to repurchase shares, the realized capital must not exceed the undistributed after-tax profit on the consolidated financial statements. audit. In the event that the undistributed after-tax profit used to repurchase shares is lower than the undistributed after-tax profit on the consolidated financial statements and higher than the undistributed after-tax profit on the parent company's financial statements, the company must supplement the decision of the competent authority of the subsidiary through the distribution of profits with a statement certified by the bank proving that the profit has been transferred from the subsidiary to the parent company;

- Documents proving fulfillment of all conditions for share repurchase if the repurchasing company has conditional business lines.

The public company in this case shall report, disclose information, repurchase and report on stock repurchase results as prescribed in Clauses 3, 4, 5 and 6, Article 37 of the Law on Securities. The content of information disclosure is made according to the form in Appendix 36, issued together with Circular 118/2020/TT-BTC. The content of the report on stock repurchase results is made according to the form in Appendix 39 issued with Circular 118/2020/TT-BTC.

2. The public company repurchases shares according to the provisions of Points a and b, Clause 2, Article 36 of Vietnam's Law on Securities

A public company that buys back its own shares and repurchases employees' shares in accordance with the company's regulations on issuing shares to employees must submit a report to the State Securities Commission before purchasing Stocks include:

- Disclosure of information on share repurchase according to the form in Appendix 36 issued withVietnam's  Circular 118/2020/TT-BTC;

- Decision of the Board of Directors or the General Director (Director) to implement the plan to buy back shares.

The public company in this case shall repurchase shares after 07 working days from the date of reporting to the State Securities Commission and disclose information on the company's website, information disclosure media. of the State Securities Commission, the Stock Exchange according to the form in Appendix 36 issued with this Circular. Within 10 days from the end of the stock repurchase transaction, the public company must send a report on the transaction results to the State Securities Commission and disclose information to the public according to the form in Appendix 39 issued together with this Circular.

Hai Thanh

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