Vietnam Business Law is a website managed by lawyers of Venture North Law Limited (VNLaw). Venture North Law Limited (VNLaw) is a Vietnamese commercial law firm. We won the Rising Law Firm of the Year Award at the Southeast Asia Law Awards for the years 2020 and 2021 held by The Legal 500. Very few Vietnamese law firms have achieved a similar regional recognition.
Posted in: Merger & Acquisition
The capital structure of a JSC under the Enterprise Law 2005 is anything but clear. In particular, the Enterprise Law 2005 and Decree 102/2010 do not clearly define how charter capital, paid-up shares, authorised shares and treasury shares relate to each other. It looks like that the drafting team of Enterprise Law 2014 has taken notes of our comments and substantially improve the clarity on the capital structure of a JSC.
If there is any amendment to the content of a BRC of a company, the company must apply to amend the BRC within 10 days from the date of amendment. Again, the Business Registration Authority has three working days to process the application. This procedure is the same as in Enterprise Law 2005 with a shorter timing.
The National Assembly passed this morning (26 November 2014) the amended Enterprise Law 2014 and amended Investment Law 2014. Enterprise Law 2014 and Investment Law 2014 will take effect from 1 July 2015 and replace the current Enterprise Law 2005 and Investment Law 2005 respectively. These two important laws will have major impacts on operation and management of companies including foreign invested companies and foreign investors in years to come. In the next several posts, we will highlight and comment on various key changes under Enterprise Law 2014 and Investment Law 2014. The executed versions of the Enterprise Law 2014 and the Investment Law 2014 are not available to public yet. Our comments are based on unofficial final versions of these laws. Therefore, there may be changes after the executed versions of the laws are available.
Please click here to visit the special page on Enterprise Law 2014 and Investment Law 2014.
Here is a flow chart where State shares held by a Top Level SOE in an unlisted joint stock company can be sold at a price higher than par value. This post is contributed by my colleague, Tran Thanh Tra.