Company & Commercial, Schoenherr updates

Romania

Contributed by Schoenherr
Share capital increases – a practical solution
  • Romania
  • January 29 2018

Creditors and investors assess the level of a company's net assets when deciding whether to grant a loan to or invest in that company. Further, the Companies Law requires companies to maintain a certain level of net assets. However, an increasing number of companies on the Romanian market are struggling with low net assets to total asset ratios. Luckily, such companies can redress their situation through a share capital increase, which is a straightforward procedure.


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