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Capital depreciation

The shareholders’ meeting can decide to reduce the subscribed capital by the cancellation of share The portion of registered capital of a private or public limited company
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shares
( share The portion of registered capital of a private or public limited company
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stocks
) or by reduction of the number of shares (stocks) by amendment of the articles of association A document, drawn up when a Dutch company or legal person is set up, and which regulates the operations of the company and defines its purpose.
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Articles of Association
. This is called capital depreciation. The decision must indicate to which shares (stocks) it relates to and the manner of implementation of the decision.

Subscribed capital is the capital of a Dutch limited company that is issued by the limited company and which is provided to the company by the shareholders. The shareholders have received shares (stocks) in return.

 

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