Conversion of warrants or convertible loans into share capital
Special missions of the statutory auditor
When a company increases its share capital by conversion of warrants or convertible loans, a public notary deed must be established.
This public notary deed must determine:
- The conversion and subscription,
- The related increase of share capital and
- The number of new shares issued.
The board of directors appoints the notary and prepares the list of the conversions requested or of the warrants exercised. This list must be certified by the statutory auditor, or if the company has none, by an auditor, member of IBR / IRE.
The notary deed changes the statutory amount of the share capital and conveys the status of shareholder to the bond holder who has expressed his desire to convert his instruments or to the holder of the warrants who has exercised his options.