Can I apply shares of public companies that are delisted for relisting in Vietnam?
Can I apply shares of public companies that are delisted for relisting in Vietnam? What are legal regulations on voluntary delisting of securities in Vietnam?
Hello. Recently, my company (public company) has delisted shares for 3 years, but due to some problems, is it possible for my comany to apply for relisting, and what are the procedures?
Please advise. Thankyou.
1. Can I apply shares of public companies that are delisted for relisting in Vietnam?
In Article 122 of Decree 155/2020/ND-CP stipulating applying for relisting, as follows:
1. The organization whose shares are delisted as prescribed in Article 120 or Article 121 of this Decree may only apply for relisting after trading for at least 02 years on UPCOM.
2. The conditions, documentation and procedures for relisting shall comply with Article 110 and Article 111 of this Decree.
According to Article 111 of Decree 155/2020/ND-CP stipulating procedures for listing registration, as follows:
1. Within 30 working days from the receipt of the satisfactory application, the Stock Exchange shall issue a decision to approve the listing, or issue a written rejection and provide explanation.
2. Within 90 days from the day on which listing is approved, the applying organization shall put its securities into trading.
Thus, your company has implemented the listing of shares in Vietnam. However, your company is only allowed to apply for relisting after trading for at least 02 years on UPCOM and complying with the above-mentioned timelines.
2. What are legal regulations on voluntary delisting of securities in Vietnam?
Pursuant to Article 121 of Decree 155/2020/ND-CP stipulating voluntary delisting of securities, according to which:
1. Conditions for voluntary delisting of shares and fund certificates:
a) The decision on delisting is approved by the GMS or Assembly of Investor in accordance with regulations of enterprise laws, the charter of the securities investment fund. It must receive over 50% of votes of shareholders that are not major shareholders;
b) The voluntary delisting may be only be carried out after at least 02 years from the issuance date of the decision to approve the listing on the Stock Exchange.
2. Conditions for voluntary delisting of secured warrants:
The issue may voluntarily delists part or all of the uncirculated warrants at least 30 days after the listing date as follows:
a) If there are still circulating warrants, the quantity of remaining warrants (to be delisted) must be at least 10% of the issued warrants;
b) In case the issuer has owned all of the issued warrants, it may request permission to delist all of the issued warrants.
3. An application for voluntary delisting shall contain:
a) The application form No. 32 in the Appendix hereof;
b) The decision of the GMS (for delisting of shares) or Investor Assembly (for delisting of fund certificates) or the Board of Directors (for delisting of secured warrants) to approve the delisting;
c) The plan for settlement of interests of shareholders after delisting is approved by the GMS.
4. Procedures for voluntary delisting
Within 07 working days from the receipt of the satisfactory application, the Stock Exchange shall issue a decision to approve the voluntary delisting, or issue a written rejection and provide explanation.
According to this Article, the voluntary delisting of securities in Vietnam must comply with the provisions of the law mentioned above.
Best Regards!
