How long does it take for stocks to be put under control if there are no transactions in Vietnam?

How long does it take for stocks to be put under control if there are no transactions in Vietnam?

Pursuant to Clause 1 Article 38 of the Regulation for Listing Securities and Trading of Listed Securities issued together with the Decision 17/QĐ-HĐTV in 2022 stipulating control as follows:

1. Securities are controlled when one of the following events occurs:

a) The listed organization's contributed charter capital decreases to less than VND 30 billion, as recorded in the next period's financial statement, after the securities are warned under Point a, Clause 1, Article 37 of this Regulation.

b) Post-tax profit on the audited financial statement for the last 2 years of the listed organization is negative (taking into account the impact of the auditor’s qualified opinion). In case the listed organization is a superior accounting unit with affiliated accounting units, the post-tax profit is considered based on the combined financial statement. In case the listed organization has a subsidiary, the post-tax profit is determined according to the post-tax profit of the parent company's shareholders on the consolidated financial statement.

c) The cumulative loss exceeds the actual contributed charter capital in the most recent reviewed biannual financial statement (taking into account the impact of the audit unit's qualified opinion). In case the listed organization has a subsidiary or is a superior accounting unit with affiliated accounting units, their cumulative loss is determined according to the consolidated financial statement or combined financial statement.

d) The auditor issued a qualified opinion on the listed organization's audited annual financial statements for 2 consecutive years. In case the listed organization has a subsidiary or is a superior accounting unit with affiliated accounting unit, the qualified opinion is determined according to the consolidated financial statement or combined financial statement.

dd) The equity on the most recent audited financial statement, except the annual financial statement, is negative. In case the listed organization has a subsidiary or is a superior accounting unit with affiliated accounting unit, the equity is determined according to the consolidated financial statement or combined financial statement.

e) The listed organization ceases or has its primary business operations suspended for 9 months or more

g) The listed organization fails to submit its audited annual financial statement or reviewed semi-annual financial statement within 30 days of the prescribed deadline.

h) The listed organization delays submission of their audited annual financial statements for 2 consecutive years.

i) Stocks have not been traded for 9 months.

k) The listed organization continues to violate regulations on information disclosure on the stock market after HNX/HoSE puts their securities on warning as prescribed in Point h, Clause 1, Article 37 of this Regulation.

As regulations above, if you have stocks but have not had any transactions in the past 9 months, your stocks may be put under control.

How long does it take for stocks to be put under control if there are no transactions in Vietnam? - Source: Internet

When shall securities be subject to trading time restrictions in Vietnam?

Pursuant to Clause 1 Article 39 of the Regulation for Listing Securities and Trading of Listed Securities issued together with the Decision 17/QĐ-HĐTV in 2022 stipulating restrictions as follows:

1. Securities are subject to trading time restrictions when one of the following events occurs:

a) The listed organization fails to submit its audited annual financial statement or reviewed semi-annual financial statement within 45 days of the prescribed deadline.

b) The listed organization continues to violate regulations on information disclosure on the stock market after HNX/HoSE puts their securities on warning as prescribed in Point h, Clause 1, Article 38 of this Regulation.

Above cases when securities shall be subject to trading time restrictions in Vietnam.

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