Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) (Third Amendment) Regulations, 2020. - SEBI/LAD-NRO/GN/2020/20 - SEBI
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Escrow deposit requirement now mandates full consideration for certain indirect acquisitions, tightening open offer funding and securities rules. Regulation 17 now requires that where an indirect acquisition prompts a public announcement under clause (e) of sub regulation (2) of regulation 13, the acquirer must deposit an amount equivalent to one hundred per cent of the open offer consideration into escrow and is prohibited from depositing securities for such acquisitions. Regulation 18 gains sub regulation (11A) obliging the acquirer to pay interest on delayed payments for accepted open offer shares at ten per cent per annum, subject to possible waiver by the Board if delay is not the acquirer's fault; regulation 22's language excluding bulk or block deals is removed.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Escrow deposit requirement now mandates full consideration for certain indirect acquisitions, tightening open offer funding and securities rules.
Regulation 17 now requires that where an indirect acquisition prompts a public announcement under clause (e) of sub regulation (2) of regulation 13, the acquirer must deposit an amount equivalent to one hundred per cent of the open offer consideration into escrow and is prohibited from depositing securities for such acquisitions. Regulation 18 gains sub regulation (11A) obliging the acquirer to pay interest on delayed payments for accepted open offer shares at ten per cent per annum, subject to possible waiver by the Board if delay is not the acquirer's fault; regulation 22's language excluding bulk or block deals is removed.
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