Application for the issue of additional shares in Vietnam

Application for the issue of additional shares in Vietnam (Internet image)

Article 4 of Circular 227/2012/TT-BTC stipulates that the application for the issue of additional shares in Vietnam includes:

- The papers prescribed in Point a, Point b, Point c Clause 1 Article 78, and other relevant papers prescribed in Article 82 of the Decree No. 58/2012/ND-CP;

- The meeting minutes and resolution of the General meeting of shareholders of the investment company, approving the offering of additional shares, plan for issue and capital use; the meeting minutes and resolution of the Board of Directors of the investment company, approving the application for offering, and the contents prescribed in Point c Clause 3 of Article 5 of Circular 227/2012/TT-BTC;

- The Financial statements of the year succeeding the year in which the issue of additional shares is requested, which is audited by an accredited audit organization; the profit of the investment company in that year must be a positive number.

The dossier for registration of issuance of additional shares of a securities investment company shall be made into one (01) original set with an electronic data file attached. The original dossier shall be sent directly to the State Securities Commission or sent by post.

Within 30 days from the date on which the complete and valid dossier is received as prescribed in Clause 5 of this Article, the State Securities Commission shall issue the Certificate of additional share issues registration to the investment company. The refusal must be notified and explained in writing by the State Securities Commission.

The asset management company is responsible for ensuring that the information in the application is accurate and unequivocal, and the all important contents that affect the decision making of investors are provided. While the application is being examined, the asset management company shall update and revise the application if inaccurate information is detected, or new important information is provided, or mandatory information is omitted, or explanation for confusing issues is necessary. The written revision must bear the signatures of the persons that signed the application, or of the persons that hold the same positions as such signers, or of the legal representative of the company.

When the investment company issues additional shares, the asset management company and the Board of Directors of the investment company are jointly responsible for the accurate application. In this case, the revision of the application and information must be announced by the asset management company as prescribed in Clause 10 Article 3 of this Circular.

More details can be found in Circular 227/2012/TT-BTC, which comes into force from July 1, 2013.

Le Vy

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