THE COMMUNIQUÉ ON THE PROCEDURES AND PRINCIPLES OF THE IMPLEMENTATION OF ARTICLE 376 OF THE TURKISH COMMERCIAL CODE NO.6102
The Communiqué on
the Procedures and Principles of the Implementation of Article 376 of the
Turkish Commercial Code No. 6102 (“Communique”) was published in the Official
Gazette dated 15.09.2018 and numbered 30536 and entered into force on the same
day. According to Article 5 of the Communiqué, if it is identified from the
company’s balance sheet pertaining to the last fiscal year that at least half
or 2/3 of the company’s capital plus legal reserves have been depleted due to
loss, the Board of Directors is required to invite the General Assembly for
meeting immediately. The depletion of the share capital shall also be included
in the agenda of the next general assembly meeting to be convened. Moreover,
even in circumstances where the general assembly is called for the meeting with
a different agenda, a topic in respect of share capital depletion shall also be
added if half or 2/3 of the company’s capital plus legal reserves have been
depleted due to loss.