( 23/10/2023 - Công ty Luật TNHH SLF )
In recent years, capital mobilization through corporate bond issuance has grown rapidly, achieving positive results in both scale and liquidity, effectively contributing to mobilizing resources for investment in economic development. To participate in corporate bond offerings, you also need to know your rights and responsibilities. In addition, SLF Law Company Limited provides consulting support for businesses and readers to understand clearly.
To issue bonds to the market and use bond capital, bond issuing businesses must comply with certain principles as follows:
1. Issuing bonds:
Enterprises issue bonds according to the principle of self-borrowing, self-payment, taking responsibility for the efficiency of capital use and ensuring the ability to repay debt.
Enterprises issue bonds to implement investment programs and projects, to increase the scale of operating capital or to restructure the enterprise’s own debts. The issuance purpose must be specifically stated by the enterprise in the bond issuance plan and information must be disclosed to investors registering to buy bonds according to the provisions of this Decree.
2. Use of bond capital:
The use of capital raised from bond issuance must ensure the correct purpose according to the issuance plan and the content of information disclosed to investors.
In addition, for green bond issuance, capital from bond issuance is separately accounted, managed, monitored and disbursed for environmental protection projects according to the issuance plan approved by competent authorities. .
Responsibilities of businesses issuing bonds
Enterprises issuing bonds are responsible for complying with the provisions of this Decree on bond offerings.
Must manage and use capital from bond issuance in accordance with the bond issuance plan approved by competent authorities and according to the provisions of law.
Pay fully and on time bond interest and principal when due and exercise accompanying rights (if any) to bond owners according to the terms and conditions of the bond.
Be responsible before the law for the accuracy, truthfulness, and completeness of bond offering documents and published information; Implement financial management, statistical accounting and auditing regimes.
Enterprises issuing bonds that do not comply with regulations, depending on the nature and severity of the violation, will be subject to administrative sanctions or criminal prosecution.
Responsible for explaining to investors information related to the issuance plan, legal risks, investment risks, capital use risks, rights, benefits, and legal responsibilities of the issuing enterprise. operators and investors.
Above is the entire basic content of “Responsibilities of bond issuing enterprises”. For consulting support, please contact us for the fastest support.
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