In this transaction, the Client is a foreign-invested company operating for more than 20 years, experiencing many periods of changing laws, adjusting licenses, and changing capital contributions of foreign investors, causing an exchange rate difference, the charter capital of Vietnam Dong on the license is too large compared with the value in the financial statements. This affects the value of the company when buying and selling the company.
Therefore, the client came to Apolat Legal’s team of lawyers for advice on solutions and adjusted the charter capital to be equal to the capital recorded in the financial statements. The amount of difference compared to the financial statements amounted to more than tens of billions of dong.
Apolat Legal’s team of lawyers has tried their best to study the documents and analyze the financial statements of the clients year by year and the corresponding change of license to find the key and basis for reducing the charter capital.
Although this capital reduction is not regulated by enterprise law, it has been analyzed and debated by Apolat Legal’s team of lawyers, arguing the suitable basis for the DPI to approve the capital reduction. Phú Gia
