PRACTICE STATEMENT NO 26 SHAREHOLDER ACTIVISM

PRACTICE STATEMENT NO 26 SHAREHOLDER ACTIVISM1. Introduction and The Panel Executive understands that concerns have recently been expressed that certain provisions of the Takeover code (the code ) act as a barrier to co-operative action by fund managers and institutional shareholders . Specifically, concerns have been expressed that collective SHAREHOLDER action (for example, shareholders jointly seeking to bring influence to bear on the board of a company) could be constrained by the Executive s application of the code s acting in concert provisions and mandatory offer The Executive does not believe that the relevant provisions of the code have either the intention or the effect of acting as a barrier to co-operative action by fund managers and institutional shareholders or of constraining normal collective SHAREHOLDER action. This PRACTICE STATEMENT therefore describes the way in which the Executive interprets and applies the relevant provisions of the code in this In summary, a mandatory offer may only be triggered by activist shareholders if both of the following tests are satisfied:(a) those shareholders requisition a general meeting to consider a board control-seeking resolution or threaten to do so; and(b) after an agreement or understanding is reached betw

PRACTICE STATEMENT NO 26 SHAREHOLDER ACTIVISM 1. Introduction and summary 1.1The Panel Executive understands that concerns have recently been expressed that certain provisions of the Takeover Code (the “Code”) act

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  Code, Practices, Testament, Shareholders, Activism, Takeovers, Takeover code, Practice statement no 26 shareholder activism

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