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Process to follow in a takeover bid
A takeover bid involves three different players. The first is obviously the initiator of the offer. This can be a natural or legal person. The other player is the targeted company. Finally, the last important player: the Financial Markets Authority (AFM). This is an entity that monitors the progress of the operation and the respect of the rights of minority shareholders.

The procedure for a takeover bid varies depending on the country where it takes place. Thus, in France, the takeover bid takes place under the supervision of the AFM. This institution will monitor compliance with the principles of equal treatment between the different shareholders.

The OPA may be voluntary or mandatory. It becomes mandatory if:

A company reaches a threshold of 30% of the capital (or voting rights). If the company is listed on Euronext Growth, the threshold rises to 50%.

The company holds between 30% and half of the capital and increases its capital by more than 1%.

A takeover bid begins when the initiator publishes a press release and files its project with the AFM. The target company can also file a press release.

When the AFM deems the offer to be compliant, it will publish a timetable which will allow the progress to be followed on its official website.

The takeover bid, once launched by the AFM, has a specific lifespan. It is open for 25 trading days (or 35 days if it is a hostile takeover bid). The shareholders of the target company will then decide whether or not to contribute their shares to the acquiring company. If at the end of the period established by the AFM, the success threshold has not been reached, the takeover bid will be considered null and void and cancelled.

Legal rules surrounding a takeover bid
Takeover belgium phone data bids are strictly regulated by the AFM. Its visa will testify that the takeover bid is properly carried out in accordance with the rules.

Several articles govern this operation. This is the case of article L. 433-1 of the Monetary and Financial Code. This is based on two principles:

The principle of equality between shareholders;

Transparency related to the communication of information which must be precise.

Community competition law is also important. The initiating company must notify any offer with a Community dimension to the European Commission.

It is also essential that the holding thresholds beyond which shareholders must make themselves known are noted. These thresholds can vary, from 5% to 25% of the capital. It should be noted that from 10%, shareholders must specify their intention to acquire within 5 days. This avoids a creeping takeover.

There are also takeover rules. These require all commission agents to provide a minimum acceptance threshold of 50% +1 of the shares. The principle of neutrality will be abandoned during the offer period. Advisors will be able to take measures provided that shareholders have approved. Before the opening of the takeover bid , the powers of the works councils will have to set up an information-consultation procedure.

The law also introduces a new safe harbor in which the AFM can grant an exemption to a shareholder if the shareholder: