Article 10 of the Law of Turkmenistan "On Joint-Stock Companies" establishes that all shareholders possess rights and responsibilities arising from this Law and the company's charter.
Shareholders have the right to:
- Participate in the management of the company's affairs as defined by the company's charter.
- Receive a share of the profits (dividends) from the company's activities.
- Conduct transactions with their shares in accordance with this Law and the company's charter.
- Transfer rights (or portions of rights) granted by shares to their representative(s).
- Obtain information about the company's activities, including access to accounting data, financial reports, and other documentation as stipulated by the company's charter.
- Receive a portion of the asset value remaining after settling with creditors in the event of the company's liquidation, or its value as prescribed by Turkmenistan's legislation and the company's charter.
- Challenge decisions made by the company in court.
Shareholders may also have other rights provided by this Law, other regulatory legal acts of Turkmenistan, and the company's charter, including a preemptive right to receive products (services) produced by the company, as well as to acquire newly issued shares.
Shareholders are obligated to:
- Pay for shares in the manner, amount, and methods specified in the company's founding documents.
- Not disclose confidential information about the company's activities and refrain from any actions that may harm the company.
No other obligations can be imposed on shareholders without their consent. Provisions in the charter and decisions by the company's governing and supervisory bodies that impose certain obligations on shareholders are invalid.
A shareholder does not hold ownership rights over individual assets that constitute the company's property, including those contributed by the shareholder.
A shareholder cannot demand the company to buy back the shares they acquired, except in cases specified in paragraph 6 of this article.
Shareholders who own voting shares have the right to demand the company buy all or part of their shares in the following situations as decided by the general meeting of shareholders:
- Reorganization of the company.
- Conducting a major transaction involving assets valued at more than 50 percent of the company's net assets as of the date of the decision to conduct such a transaction.
- Amending or supplementing the current charter or approving a new version that restricts their rights.
Such a right arises for shareholders if they voted against the adoption of the mentioned decisions or did not participate in the voting. The company must inform shareholders about their right, the price, and the procedure for the buyback.
Source: Law of Turkmenistan "On Joint-Stock Companies"
