Amendment to the Takeover Bids Law 41(I)/2007

In line with Article 119 of EU Directive 2014/59, the new amendment to the Takeover Bids Law [41(I)/2007] and particularly new Section 15A states that Section 13(1) of the basic law on mandatory takeover bids shall not apply in the case of use of resolution tools, powers and mechanisms provided for in Title IV of Directive 2014/59/EU.

It is reminded that Section 13(1) states that where a person as a result of his/her own acquisition or the acquisition by persons acting in concert with him/her, holds securities of a company which, added to any existing holdings of those securities of his/hers and the holdings of those securities of persons acting in concert with him/her, directly or indirectly give him/her a percentage of thirty per cent (30%) or more of existing voting rights in that company at the date of the acquisition, such a person is required to make a bid at the earliest opportunity to all the holders of those securities.