This month, Suncor Energy Inc. made a hostile bid to acquire Canadian Oil Sands and in particular its 37 per cent in Syncrude Canada Ltd. The Suncor bid raises questions about the appropriate legal regime governing takeover bids in Canada.
Securities regulators have not historically operated on the basis of harmonized rules governing defensive tactics that a target board, like Canadian Oil Sands, can adopt prior to or in the face of a bid. This disunity may fade away as the Canadian Securities Administrators (CSA) stand poised to adopt a new takeover bid regime.
Under the CSA draft rules, a takeover bid would have an irrevocable 50 per cent minimum tender condition. Once met, the rules would require an additional 10-day right to tender for undecided shareholders.
Anita Anand – Financial Post –Â October 29, 2015.
Want More Investigative Content?
