REGISTRATION OF SECURITIES TRADING IN EQUITIZED ENTERPRISES

Equitized enterprises are subject to registration of transactions according to the law on transfer of state-owned enterprises, single-member limited liability companies with 100% charter capital held by state-owned enterprises, public affairs units. Public enterprises established as joint stock companies must register for securities trading according to regulations for registration of securities trading of equitized companies on the trading system for unlisted securities must comply with the provisions of law on registration of securities trading of equitized companies.

Specifically as in the article below.

1. What is securities trading registration?

Registration means the admission of securities to trading on a system for trading of unlisted securities, specified pursuant to Clause 25 Article 4 Law on Securities 2019.

In which, Upcom trading system is a system organized and operated by stock exchanges for trading of unlisted securities.

2. Application for registration of securities trading in equitized enterprises

– Case 1: the equitized enterprise has completed the transition to a joint stock company:

(i)         Application form for stock trading registration;

(ii)        Documents of equitized enterprises include:

+          The company’s charter;

+          Enterprise registration certificate;

+          The company information disclosure includes summary information about the organizational model, business operations, management apparatus, shareholder structure, assets, financial situation and other information;

+          The most recent annual financial statements of the joint stock company are audited by an independent audit organization.

In case the company increases its charter capital after the end of the most recent annual accounting period, the company must supplement the most recent audited financial statement.

(iii        Confirmation from the State Securities Commission on completion of company registration;

(iv) The certificate of securities registration issued by VSDCC and notification to be sent to VSDCC of the date of closing shareholder list.

– Case 2: The equitized enterprise does not meet the conditions of contributed charter capital of VND 30 billion or more and has at least 10% of the voting shares held by at least 100 investors who are not major shareholders:

The dossier is similar to case 1, but does not include the confirmation from the State Securities Commission on the completion of public company registration;

– Case 3: quitized enterprise associated with registration, depository and transaction registration:

Application for transaction registration complies with legal regulations on transfer of state-owned enterprises and limited liability companies Limited to a member whose charter capital is 100% held by a state-owned enterprise, a public service unit becomes a joint stock company.

>> APPLICATION FOR INITIAL PUBLIC OFFERING OF JOINT-STOCK COMPANY https://linconlaw.vn/application-for-initial-public-offering-of-joint-stock-company/

3. Procedures for registering securities trading of equitized companies

– Step 1: Enterprise submits securities trading registration documents to the Stock Exchange.

– Step 2: Within 05 working days from the date of receipt of complete and valid documents, the Stock Exchange has a decision to approve the transaction registration and at the same time disclose information to the market.

– Step 3: Within 10 days from the date the Stock Exchange issues the decision approving trading registration, the issuing organization is responsible for putting the shares into trading on the Upcom trading system.