Shenzhen Stock Exchange and China Securities Depository and Clearing Limited Shenzhen Branch, Takeover of Listed Companies by Offer Guidelines

Issued: July 18 2003

Main contents: The Guidelines explain the procedures to be followed if the purchaser is paying cash or paying by transfer of shares (Section One). They state what information the purchaser must provide to the Shenzhen Stock Exchange Company Disclosure Department, and the procedure to be followed once the purchaser has obtained agreement from the China Securities Regulatory Commission. They explain what should be done if the purchaser changes the terms of the offer while the offer is still valid, or if there are major changes to the information given in the offer document. They explain the differing situations with regard to acceptance or rejection of offers by shareholders, depending on the type of shares held. They state the procedure to be followed when the takeover takes place and what the purchaser needs to do.
Related legislation: Administration of the Takeover of Listed Companies Procedures (Revised), Aug 27 2008, CLP 2008 No.8 p98