Nearly 710 million FLC shares to trade on UPCoM on Feb 22

Tuesday, Feb 21, 2023 08:44

FLC has requested regulators reconsider its decision to delist on the southern bourse HoSE. — Photo

The Vietnam Securities Depository (VSD) has just announced the transfer of FLC shares' registration and depository data.

Nearly 710 million FLC shares will be transferred from the Ho Chi Minh Stock Exchange (HoSE) to the UPCoM exchange on February 22.

VSD said that FLC shares still meet the conditions of being a public company, so they must be registered for trading on the UPCoM trading system according to the provisions of Article 133 of Decree No. 155/2020 of the Government detailing the implementation of a number of articles of the Securities Law.

According to the Securities Law, a public company is a joint stock company with a registered charter capital of VND30 billion (US$1.26 million) or more and having at least 10 per cent of the voting shares owned by at least 100 investors who are not major shareholders, or a company that has successfully offered its shares to the public for the first time by registering with the State Securities Commission (SSC).

Considering the regulation, FLC shares still meet the conditions of a public company with a charter capital of nearly VND7.1 trillion and more than 64,700 shareholders.

Previously, HoSE issued a decision to cancel 709.9 million FLC shares from trading on the exchange starting February 20.

The exchange said that the company has seriously violated the obligation to disclose information, as well as other cases so that HoSE and SSC deem necessary to delist FLC shares in order to protect the interests of investors.

FLC has requested that regulators reconsider its decision to delist, explaining that the breach of information disclosure was due to force majeure circumstances.

It could not find an approved entity to audit the company’s financial statements for a long time.

According to the leader of FLC, in all cases, shareholders are entitled to full ownership and decision-making rights over the shares owned by FLC.

Rights of shareholders such as the right to participate in the general meeting of shareholders, the right to vote, and the right to nominate and stand as a candidate for election to the Board of Directors are still guaranteed.

FLC is making efforts to promote information disclosure according to regulations. — VNS

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