What are procedures for issuance of shares by public companies for execution of warrants in Vietnam?

What are procedures for issuance of shares by public companies for execution of warrants in Vietnam? - image from internet

Pursuant to Article 68 of the Decree 155/2020/ND-CP stipulating following procedures:

1. The public company shall send the report on issuance of shares to exercise warrants to SSC before the execution, including the following documents:

a) The report form No. 18 in the Appendix hereof;

b) The GMS’s decision to approve the plan for use of revenue obtained from the issuance in case there are changes to the original plan that was approved by the GMS when issuing warrant-linked bonds or warrant-linked preference shares;

c) The decision of the Board of Directors to approve the execution of the plan for issuance of shares for execution of warrants;

d) Written confirmation by the bank or FBB of the opening of an escrow account to receive payment for the issued shares;

dd) SBV’s written approval for increase in charter capital in accordance with regulations of law on credit institutions in case the issuer is a credit institution; The Ministry of Finance’s written approval for increase in charter capital in accordance with regulations of law on insurance business in case the issuer is an insurer.

2. Within 07 working days from the receipt of the satisfactory report, SSC shall send a written notification of the receipt of the report to the issuer and post it on SSC’s website, or issue a written rejection and provide explanation.

3. Within 07 working days from the day on which SSC issues the notification, the issuer shall publish a notification on the websites of the issuer and the Stock Exchange for investors to register their execution of warrants. Investors shall have at least 20 days to register.

4. Within 10 days from the end of the issuance, the issuer shall send the report on result of the issuance enclosed with confirmation of the bank or FBB where the escrow account is opened to SSC; disclose this information on the websites of the issuer and the Stock Exchange.

5. Within 03 days from the receipt of the satisfactory report, SSC shall send a written notification of the receipt of the report to the issuer, the Stock Exchange and VSDCC, and announce the receipt of it on the website of SSC.

6. After receiving the notification from SSC, the issuer may request unfreezing of the amount obtained from the offering.

Best regards!