A T O home
Legal Database
Search   
for 
 
Access the database 
Browse database
Searches  
View last document
Quick access 
View legislation
View a document
Email Cross Reference Material Previous/Next Section Contents Previous/Next Result
Printable version
Printable
version

CORPORATIONS ACT 2001

CHAPTER 6 - TAKEOVERS  

PART 6.5 - THE TAKEOVER PROCEDURE  

Division 5 - General rules on takeover procedure  

Subdivision C - Effect of proportional takeover approval provisions  

SECTION 648E  RESOLUTION TO BE PUT IF PROPORTIONAL BID MADE  

648E(1)  [Need for resolution]  


If:


(a) a company's constitution contains proportional takeover approval provisions; and


(b) offers are made under a proportional bid for a class of the company's securities;

then:


(c) the company's directors must ensure that a resolution to approve the bid is voted on in accordance with those provisions before the approving resolution deadline; and


(d) if the directors fail to ensure that a resolution of that kind is voted on before the deadline, each of the directors contravenes this subsection.

Note: Subsection 648D(2) sets the approving resolution deadline.

648E(2)  [Notice of resolution]  


If a resolution to approve the bid is voted on in accordance with the proportional takeover approval provisions before the approving resolution deadline, the company must, on or before the deadline, give:


(a) the bidder; and


(b) if the company is listed - each relevant financial market;
 View history reference

a written notice stating that a resolution to approve the bid has been voted on and whether the resolution was passed or rejected.

648E(2A)  [Strict liability offence]  

 View history reference

An offence based on subsection (1) or (2) is an offence of strict liability.

Note: For strict liability, see section 6.1 of the Criminal Code.

648E(3)  [Deemed resolution]  


If no resolution to approve the bid has been voted on in accordance with the proportional takeover approval provisions as at the end of the day before the approving resolution deadline, a resolution to approve the bid is taken, for the purposes of those provisions, to have been passed in accordance with those provisions.

 



This information is provided by CCH Australia Limited. View the disclaimer and notice of copyright.
Top of page
More information on page