Corporations Act 2001
CHAPTER 6
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TAKEOVERS
PART 6.3
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THE DIFFERENT TYPES OF TAKEOVER BID
SECTION 616
OFF-MARKET BIDS AND MARKET BIDS
616(1)
[
Kinds of bids]
(a) an off-market bid (for quoted or unquoted securities); or
(b) a market bid (only available for quoted securities).
There are 2 kinds of takeover bid:
(a) an off-market bid (for quoted or unquoted securities); or
(b) a market bid (only available for quoted securities).
Note: Although the prohibition in section 606 is against acquiring relevant interests in voting shares, a takeover bid may be made for any securities (for example, as a preliminary to compulsorily acquiring securities in that class under Part 6A.1 ).
616(2) [ Table relating to offer provisions]The following table shows where to find the provisions dealing with the main features of the offers that may be made under off-market bids and market bids and the procedures to be followed:
| Takeover bids | [ signpost table ] | ||
| Feature | Off-market bid | Market bid | |
| 1 | people to whom offers made | 617(1) - (2) | 617(3) |
| 2 | securities covered | 618(1) - (2) | 618(3) |
| 3 | consideration offered for the securities | 621(1), (3) - (5) and 651A | 621(2), (3) - (5) |
| 4 | escalation agreements and collateral benefits not allowed | 622 and 623 | 622 and 623 |
| 5 | offer period | 624(1) - (2) and 650C | 624(1) - (2) and 649C |
| 6 | conditional offers | 625(2) - (3) and 626 - 630 | 625(1) |
| 7 | procedure to be followed in making bid | 632 and 633 | 634 and 635 |
| 8 | acceptances | 650E and 653A - 653B | - |
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