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Corporate Service - Taiwan

Question

Taiwan Company- Decrease of Capital

Answer
Q:
Is it possible to proceed the decrease of capital?
A:
If the company limited intends to proceed the decrease of capital, the proposal shall be approved by the entire board of shareholders.

Q:
How to set up the basis date?
A:
The adoption of decrease of capital and authorization for a director to set up the basis date can be resolved by the board of shareholder.

Q:
Is it possible for a company to decrease the capital regardless of the ratio basis for each shareholder?
A:
In the condition of decrease of capital for a company limited by shares, it is required to decrease the capital based on the shareholding ratio to keep the fairness of each shareholder in accordance with Company Act.

Q:
Is it possible to proceed the decrease or increase of capital jointly? Is it possible to set up the basis date at the same day?
A: The purpose of decrease of capital is to compensate the losses of company as well as introduce the other amount of capital, so it is possible to proceed them jointly, but the basis date is not allowed to be the same day.

Q:
Is it possible to receive the withdrawn amount of shares in cash?
A: The withdrawn amount of shares is allowed to be converted into any form of property but cash. The withdrawn property and offset amount shall be resolved and approved by the board of shareholder and the transferred shareholder.

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