Corporations Act 2001

CHAPTER 6 - TAKEOVERS  

PART 6.3 - THE DIFFERENT TYPES OF TAKEOVER BID  

SECTION 616   OFF-MARKET BIDS AND MARKET BIDS  

616(1)   [ Kinds of bids]  

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 -


 

Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited

CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.

The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.