INCREASE OWNERSHIP RATE AND SIMPLIFY INVESTMENT PROCEDURES OF FOREIGN INVESTORS ON VIETNAM STOCK MARKET
After the Government issued Decree No. 60/2015/ND-CP, the Ministry of Finance has issued Circular timeliness 123/2015/TT-BTC guiding foreign investment activities and regulations on foreign ownership rate on the Vietnam stock market as follows:
1/ Foreign ownership rate maximum at public company considered under provision at Clause 2 Article 1 Decree No. 60/2015/NĐ-CP.
2/ The public company will be not limited foreign ownership rate, when public company want to limit actually foreign ownership rate you must specify foreign ownership rate maximum at Charter of company.
3/ In case the public company has foreign ownership rate maximum exceeds specified maximum they must ensure not to increase foreign ownership rate at company.
4/ Foreign ownership rate at the stock business organizations are not limited, in that:
- Foreign organizations satisfy conditions at Clause 21 and Clause 24 Article 1 Decree No. 60/2015/NĐ-CP will be owned from 51% charter capital of the stock business organizations;
- Every foreign investor is individual, organization only owned under 51% charter capital of the stock business organizations.
Circular No. 123/2015/TT-BTC shall take effect from 01/10/2015 and replace Circular No. 213/2012/TT-BTC.
Circular No. 123/2015/TT-BTC is considered a text simplify securities investment procedures for foreign investor. Decree No. 60/2015/NĐ-CP also is evaluated to contribute actively in the development of Vietnam stock market.
Lawyer in Nha Trang