Article L3332-18 of the French Labour Code
November 7, 2023
Companies may carry out capital increases reserved for members of a company savings scheme.
Companies may carry out capital increases reserved for members of a company savings scheme.
If the shares are admitted to trading on a regulated market, the sale price is determined on the basis of stock market prices. The decision setting the subscription date is taken by the Board of Directors, the Management Board or their delegate. When the capital increase is concurrent with an initial public offering on a regulated market, the subscription price is determined by reference to the market admission price, provided…
Where the shares are not admitted to trading on a regulated market, the sale price is determined in accordance with objective share valuation methods, taking into account the company’s net book value, profitability and business prospects, with an appropriate weighting in each case. These criteria are assessed, where appropriate, on a consolidated basis or, failing that, by taking into account the financial information of significant subsidiaries. Failing this, the sale…
The General Meeting which decides on the capital increase may provide for the free allocation of shares or other securities giving access to the capital. The total benefit resulting from this allocation and, where applicable, from the difference between the subscription price and the average share price referred to in article L. 3332-19, or between the subscription price and the sale price determined in accordance with article L. 3332-20, may…
The benefit constituted by the difference between the subscription price and the average of the prices mentioned in article L. 3332-19, by the difference between the subscription price and the sale price determined pursuant to article L. 3332-20 and, where applicable, by the free allocation of shares or securities giving access to the capital is exempt from income tax and payroll tax and is not included in the basis of…
When a company offers members of a company savings scheme the opportunity to subscribe to bonds it has issued, the sale price is set in accordance with conditions determined by decree of the Conseil d’Etat.
This section applies to transfers by a company of up to 10% of its total issued securities to members of a company savings plan.
Except in the cases listed in the Conseil d’Etat decree provided for in article L. 3324-10, shares or units acquired on behalf of employees and former employees are delivered to them at the end of a minimum period of five years from the date of acquisition of the securities. This period does not apply if the liquidation of assets acquired under the company savings plan is used to purchase company…
The free shares referred to in Article L. 3332-14 are only available after a minimum period of five years from their payment into the plan. The provisions of articles L. 225-197-4 and L. 225-197-5 of the French Commercial Code are applicable.
The sums mentioned in article L. 3332-11 may be deducted by the company from its profits for the purposes of corporation tax or income tax, as the case may be. They are not taken into account for the application of employment legislation and are excluded from the basis of assessment for contributions defined inarticle L. 242-1 of the Social Security Code. They are exempt from income tax for beneficiaries. To…
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is a Registered Trademark of
PETROFF LAW FIRM (SELARL LEGASTRAT)
182, rue de Rivoli
75001, Paris France
RCS Paris n°814433470
Paris Bar Registration n° (Toque) C2396
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is a Registered Trademark of
PETROFF LAW FIRM (SELARL LEGASTRAT)
182, rue de Rivoli
75001, Paris France
RCS Paris n°814433470
Paris Bar Registration n° (Toque) C2396
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