There are 7 forms of investment for investors to contribute capital, purchase shares, or purchase capital contribution

Question: My company is a 100% Vietnamese-owned limited liability company. Currently, we are planning to receive investment from a foreigner. Can a foreign investor invest in our 100% Vietnamese-owned company and in what form of investment?

Answer:

Article 25 of the Investment Law 2020 provides for forms of capital contribution, share purchase, and capital contribution as follows:

Investors may contribute capital to economic organizations in the following forms:

a) Purchase of shares issued for the first time or additional shares issued by joint-stock companies;
b) Contribution of capital to limited liability companies or partnerships;
c) Contribution of capital to other economic organizations not falling under the cases specified in points a and point b of this clause.

Investors may purchase shares or capital contributions in economic organizations in the following forms:

a) Purchase of shares of joint-stock companies from the company or shareholders;
b) Purchase of capital contributions of members of limited liability companies to become members of such companies;
c) Purchase of capital contributions of members of partnerships to become capital contributors of such partnerships;
d) Purchase of capital contributions of members of other economic organizations not falling under the cases specified in point a, point b, and point c of this clause.

Therefore, the law always allows foreign investors to contribute capital and invest in economic organizations. In this case, the investor will contribute capital to the economic organization, specifically to the limited liability company.

If you are having trouble preparing investment application documents and investment certificates and cannot find suitable services, you can call 0966.222.840 or contact AT via Facebook or Zalo for guidance and advice.

 

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