Takeover Code – Removal of the Residency Test and Profit Forecasts/Estimates
This article provides an update on the recent changes to the Takeover Code (“Code”). These changes include:
amendments to the rules which determine whether companies are subject to the Code, namely the removal of the residency test. These changes came into effect on 30 September 2013, and apply from that date to all companies and transactions to which the Code relates. This includes live transactions which were in progress at the effective date, and
the inclusion of a new Rule 28, which sets out the new regime applicable to profit forecasts and profit estimates, amongst other things.
These changes also came into effect on 30 September 2013.