MBIE seeking feedback on Takeovers Code amendments

The Ministry of Business, Innovation and Employment (MBIE) has released a request for submissions in respect of the exposure draft Takeovers Code Approval Amendment Regulations 2018 (Amendment Regulations) which proposes certain amendments to the Takeovers Code (Code).

In October 2016, the Panel undertook public consultation on various changes to the Code and the Takeovers Act 1993 (Act).  Following consultation, in March 2017, the Panel recommended amendments to the Code and the Act, to the Minister of Commerce and Consumer Affairs.  Certain of those amendments are not being progressed under the Amendment Regulations as they require an amendment to the Act.

Amongst other changes, Part 2 of the Amendment Regulations deals with changes to the Code itself and gives effect to the Panel’s recommendations.  The changes fall into the following three categories:

  • standardising timeframes;
  • facilitating and prioritising electronic communication; and
  • improving information disclosure.

The Amendment Regulations have an indicative commencement date of 1 September 2018 (subject to Cabinet approval).  The changes will not come into force before 1 September 2018 and at least 28 days’ notice will be given.  The Amendment Regulations will also provide transitional arrangements for Code-regulated transactions which begin before the commencement date (i.e. the status quo will apply to those transactions).

MBIE is seeking submissions on the Amendment Regulations by 5.00pm Friday, 25 May 2018.  Submissions and questions can be emailed to corporate.law@mbie.govt.nz.

If you have any questions on the Amendment Regulations or if you would like our assistance in developing a submission to MBIE, please contact one of our experts.

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