MUST-KNOWS FOR TRANSFERENCE OF INVESTMENT PROJECTS

THINGS YOU MUST KNOW WHEN TRANSFERING INVESTMENT PROJECTS

The Vietnamese Government continuously creates favorable conditions for investors by allowing unlimited transfer of investment projects within the legal framework when implementing projects. However, adjusting a project, especially investment projects in the investment sector, which are often quite large in scale, needs to be strictly controlled to avoid causing damage to the economy. In the article below, HTC Vietnam Law Firm will provide consulting services on investment project transfer procedures.

1. Conditions for project transfer

According to Clause 1, Article 46 of the current Investment Law, an investor may transfer part or all of an investment project to another investor when the following conditions are met:

- The investment project or part of the transferred investment project has not been completed

- Implement land regulations if the transfer of investment projects is associated with the transfer of land use rights/assets attached to land;

- Comply with the conditions in the investment policy approval document or Investment Registration Certificate or other relevant legal regulations (if any);

- Foreign investors receiving investment projects or part of investment projects must meet the conditions specified in Article 24 of this Law;

2. Form of investment project transfer

The Investment Law 2020 regulates 2 forms of project transfer:

- Transfer of part of an investment project: transfer of part of an investment project to another investor to co-own the investment project.

- Complete investment project transfer: transfer the entire investment project to another investor so that that investor can name the investment project

3. Documents as prescribed by law

Investment project adjustment documents include:

- Application for adjustment of investment project;

- Report on the progress of investment project implementation up to the time of project transfer;

- Copies of documents on the legal status of the transferor and transferee;

- Copy of Investment Registration Certificate; decision to approve investment policies; decision to approve the investor (if any);

- Copy of BCC (for BCC investment projects);

- Copy of one of the following documents of the transferee: financial statements of the last 02 years or audit report of the investor's equity, financial support commitment of the parent company or commitment of a financial institution providing financial support or guarantee for the investor's financial capacity or documents describing the investor's financial capacity.

4. Procedures for transferring investment projects

- With an investment project that has been approved and issued an Investor Registration Certificate, the investor shall carry out the procedures according to the provisions of law.

- For investment projects that have not been approved and issued an Investor Registration Certificate, the party transferring the investment project or property ownership to the transferee must comply with the provisions of civil law. civil affairs, businesses, real estate and other related regulations.

- For investment projects that have been approved and are in the process of being implemented, the transferor does not need to carry out project transfer procedures.

Legal services provided by HTC VN Law Firm related to consulting on investment project transfer procedures:

- Consulting on legal issues related to investment project transfer procedures;

- Provide guidance on compliance and completion of relevant documents for project transfer procedures;

- Representing customers to carry out project transfer procedures, receive results and transfer to customers;

- Consulting on legal issues arising after transferring investment projects

Commitment to service quality

The following are the operating principles of HTC Vietnam Law Firm: Dedication - Efficiency - Trust. HTC Vietnam Law Firm ensures quality, specifically as follows:

- Ensure the work is carried out according to the agreed schedule, in accordance with the provisions of law, and in accordance with the Code of Ethics and Code of Conduct of Vietnamese lawyers.

- Prioritize customers' interests, try our best to provide customers with the best quality service.

- Respect the confidentiality of information provided by customers and information related to customers.

We look forward to long-term cooperation.

Best regards!

(Written by: Vu Ngoc Quynh/176; Date written: December 21, 2021)

For detailed advice, please contact:

HTC Vietnam Law Firm

Address: 15th Floor, Building No. 169 Nguyen Ngoc Vu, Trung Hoa Ward, Cau Giay District, Hanoi.

Phone: 0989.386.729;

Email: [email protected], [email protected],

Website: https://htc-law.com ; https://luatsuchoban.vn