The Procedure Of The Joint Stock Company’s Capital Increase By Converting The Debts

Gabriel Mihai ()
Additional contact information
Gabriel Mihai: Faculty of Law and Administrative Sciences "Ovidius" University of Constanta

Ovidius University Annals, Economic Sciences Series, 2015, vol. XV, issue 2, 470-474

Abstract: The conversion of the debts into shares is a very commonly used method in the jurisdictions of the states that are based on a market economy because of its potential to turn an adversarial situation into a collaborative relationship beneficial to both sides . The legal implications of this operation in the Romanian law converge to some risks, but although our legislation is not yet adapted to this practice, we can observe an increase in the concern for the conversion of debts into shares. The method of converting a debt or multiple debts into shares in a joint stock company is a simple and required one necessary for the companies in order not to remain indebted or to avoid a potential insolvency in the case the debt is not met in time.

Keywords: capital; increase; debt; conversion; company; shares (search for similar items in EconPapers)
JEL-codes: K (search for similar items in EconPapers)
Date: 2015
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
http://stec.univ-ovidius.ro/html/anale/RO/2015/i2/ ... ssue_2_2015_site.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ovi:oviste:v:xv:y:2015:i:2:p:470-474

Access Statistics for this article

Ovidius University Annals, Economic Sciences Series is currently edited by Spatariu Cerasela

More articles in Ovidius University Annals, Economic Sciences Series from Ovidius University of Constantza, Faculty of Economic Sciences Contact information at EDIRC.
Bibliographic data for series maintained by Gheorghiu Gabriela ().