Headlines 15/04/2021 08:47 SA

Another Decree providing instructions on implementation of 2020 Enterprise Law is taking effect

Văn Ngọc

On April 1, 2021, the Government promulgates the Decree No. 47/2021/NĐ-CP, elaborating on implementation of several Articles of the 2020 Enterprise Law.

Specifically, the Decree sets out detailed regulations on social enterprises, state enterprises, groups of companies, defence enterprises and disclosure of information.

In particular, the cross ownership between companies in the group of companies is subject to the following regulations:

- Contributing capital or purchasing shares of other enterprises or for setting up enterprises as prescribed in clause 3 of Article 195 in the Enterprise Law exists in the following cases:

+ Jointly contributing capital for setting up new enterprises.

+ Jointly purchasing shares of contributed capital or shares of existing enterprises.

+ Jointly acquiring shares, shares of contributed capital from members or shareholders of existing enterprises through transfer transactions.

- Enterprises holding at least 65% of state capital as per clause 3 of Article 195 in the Enterprise Law are state enterprises that hold at least 65% of charter capital or total voting shares.

Decree No. 47/2021/ND-CP is entering into force as of the signature date, replacing and repealing Government’s Decision No. 35/2013/QD-TTg Decree No. 81/2015/ND-CP Decree No. 93/2015/ND-CP and Decree No. 96/2015/ND-CP.

>> CLICK HERE TO READ THE ARTICLE IN VIETNAMESE

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