Disclosure of information is one of the important activities that a public company must undertake to build trust with investors and ensure transparency in their operations. Due to the importance of this, the Ministry of Finance issued Circular 155/2015/TT-BTC to guide the disclosure of information on the stock market regulating the information disclosure activity of public companies.
Periodical information disclosure
Regarding the financial statements: The publicly held company must disclose the annual audited financial statements within 10 days from the signing date of the audit organization but not exceeding 90 days from the end of the fiscal year. In some statutory cases, the State Securities Commission (“SSC”) may consider extending the announcement time to a maximum of 100 days from the end of the fiscal year when the company requests in writing. Annual financial statements must be fully disclosed, including the auditor’s report on those financial statements. In case the auditor does not accept all the financial statements, the publicly held company must publish them together with the company’s written explanation.
Regarding the Annual General Meeting of Shareholders: The publicly held company must announce the meeting of the Annual General Meeting of Shareholders and meeting information and documents on the company’s website and the State Securities Commission of Vietnam, Stock Exchange securities (if listed or registered for trading) at least 10 days before the meeting’s opening date. If the meeting is successfully held, the meeting minutes and resolutions of the Annual General Meeting of Shareholders must be announced within 24 hours from the date of approval. In case of an unsuccessful organization, the publicly held company must announce the agenda, expected time to hold the next meeting, and meeting documents.
Regarding the offering activities and the report on the use of capital: In terms of the private offering of securities or the public offering shall be fulfilled following the law. While referring to capital mobilization for investment, it will be held every 06 months from the end of the offering to the completion of the project, or disbursing all the mobilized money, the publicly held company must report to the SSC and make public announcement information on the progress of using capital from the offering.
Regarding the foreign ownership ratio: A publicly held company must disclose information on its percentage foreign ownership limit and changes relating to this ownership ratio on the websites of the company, SSC, and the Securities Depository Center following the law.
Extraordinary information disclosure
The publicly held company must disclose extraordinary information within 24 hours from the occurrence of one of the events specified and detailed in Article 9 of Circular 155/2015/ TT-BTC
Hence, almost all decisions, notices, and events relating to the operations and organizations of publicly held companies are required to be disclosed. Also in Article 9 of Circular 155/2015/TT-BTC, when extraordinary information is disclosed, the publicly held company must clearly state the event that occurred, the causes, and solutions to overcome (if any).
Information disclosure upon request
A publicly held company must disclose information within 24 hours after receiving a request from the State Securities Commission or the Stock Exchange where the company is listed or registered for trading when:
– An event occurs that seriously affects the legal interests of investors;
There is information related to the company that greatly affects the stock price and it is necessary to confirm that information;
The content of the announcement must clearly state the requested event and must have the cause and the company’s assessment of the authenticity of the event, the remedial solution (if any).
This is the article advising on the question “Regulations on information disclosure of public company” by Apra Law Firm. If you have any questions or concerns, please contact the hotline for further advice and support.
For more information, please contact:
APRA LAW FIRM
Address: 7th Floor, No.57 Tran Quoc Toan Street, Tran Hung Dao Ward, Hoan Kiem District, Hanoi, Vietnam
Hotline: 024.23486234 – 0948495885