GENERAL COMPULSORY ACQUISITIONS AND BUY-OUTS
Compulsory acquisition of securities by 90% holder
SECTION 664FTHE COURT'S POWER TO APPROVE ACQUISITION
Application to Court]
If people who hold at least 10% of the securities covered by the compulsory acquisition notice object to the acquisition before the end of the objection period, the 90% holder may apply to the Court for approval of the acquisition of the securities covered by the notice.
Time limit for application]
The 90% holder must apply within 1 month after the end of the objection period.
Obligation to approve acquisition]
If the 90% holder establishes that the terms set out in the compulsory acquisition notice give a fair value for the securities, the Court must approve the acquisition of the securities on those terms. Otherwise it must confirm that the acquisition will not take place.
Note: See section 667C on valuation.
The 90% holder must bear the costs that a person incurs on legal proceedings in relation to the application unless the Court is satisfied that the person acted improperly, vexatiously or otherwise unreasonably. The 90% holder must bear their own costs.