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Companies (Appointment of Takeovers and Mergers Panel) (Jersey) Order 200- ("the Order").

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A decision made (17/06/2009) regarding: Companies (Appointment of Takeovers and Mergers Panel) (Jersey) Order 200- ("the Order").

Decision Reference:  MD-E-2009-0098

Decision Summary Title :

Companies (Appointment of Takeovers and Mergers Panel) (Jersey) Order 200-

Date of Decision Summary:

15 June 2009

Decision Summary Author:

Finance Industry Development Executive

Decision Summary:

Public or Exempt?

(State clauses from Code of Practice booklet)

Public

Type of Report:

Oral or Written?

Written

Person Giving

Oral Report:

n/a

Written Report

Title :

Companies (Appointment of Takeovers and Mergers Panel) (Jersey) Order 200-

Date of Written Report:

15 June 2009

Written Report Author:

Finance Industry Development Executive

Written Report :

Public or Exempt?

(State clauses from Code of Practice booklet)

Public

Subject:    

Companies (Appointment of Takeovers and Mergers Panel) (Jersey) Order 200- (“the Order”).

Decision(s):  

The Minister made the Companies (Appointment of Takeovers and Mergers Panel) (Jersey) Order 200- (“the Order”)

Reason(s) for Decision: 

Takeovers and mergers in Jersey have for some time been regulated by the Panel for Takeover and Mergers (“the Panel”), a body based in the UK, on an informal basis.  The Companies (Takeovers and Mergers Panel) (Jersey) Law 2009 (“the Law”) establishes a statutory framework for the regulation of takeovers and mergers and empowers the Minister to appoint a body to oversee takeovers and mergers in Jersey.  The draft Order appoints the Panel as this body. 

Resource Implications: 

There are no measurable financial or manpower costs for the States.

Action required: 

The Minister to sign, date and seal the draft Order and for it to be returned to the States Greffe.

Signature: Senator A.J.H.Maclean 

Position: Minister for Economic Development

Date Signed: 

Date of Decision (If different from Date Signed): 

Companies (Appointment of Takeovers and Mergers Panel) (Jersey) Order 200- ("the Order").

MINISTER FOR ECONOMIC DEVELOPMENT (“the Minister”)  

Companies (Appointment of Takeovers and Mergers Panel) (Jersey) Order 200- (“the draft Order”)  
 

1. THE ISSUE AND RECOMMENDATION  

1.1. Takeovers and mergers in Jersey have for some time been regulated by the Panel for Takeover and Mergers (“the Panel”), a body based in the UK, on an informal basis.  The Companies (Takeovers and Mergers Panel) (Jersey) Law 2009 (“the Law”) establishes a statutory framework for the regulation of takeovers and mergers and empowers the Minister to appoint a body to oversee takeovers and mergers in Jersey.  The draft Order appoints the Panel as this body. 

1.2. It is recommended that the Minister should sign, date and seal the draft Order and that it should be returned to the States Greffe. 
 

2. BACKGROUND  

2.1. The Panel historically regulated takeovers in both the UK and the Crown Dependencies on an informal basis.  Having been placed within a statutory framework in the UK, the Panel does not consider it appropriate to continue to regulate takeovers in Jersey unless an equivalent framework is established here.  The Law sets up such a framework. 

2.2. The Law was passed by the States on 16 July 2008, approved by the Privy Council on 10 December 2008 and registered at the Royal Court on 2 January 2009.  The Appointed Day Act being debated by the States on 16 June 2009 brings the Law into force on 1 July 2009. 

2.4. Article 2 of the Law empowers the Minister to appoint a body to oversee takeovers and mergers in Jersey.   

2.5. After consideration within government, informal consultation with industry and discussions with the Jersey Financial Services Commission, there was a wide consensus that it was in the interests of the Island that the Panel should continue to act.  The Panel has considerable expertise in this area, which could not be replicated by a specifically Jersey (or even Channel Islands) panel.  Also any alternative to the Panel would require significant expenditure, either by industry or government.  The draft Order accordingly appoints the Panel under Article 2 of the Law. 

2.6. The Order will come into force on 1 July 2009, which is the same day that the Appointed Day Act will bring the Law in to force. 

  1. Statutory arrangements have also been made in the UK and Guernsey, by the Companies Act 2006 (Amendment of Schedule 2) (No 2) Order 2009 (SI 2009/1208) and the Companies (Panel on Takeovers and Mergers) Ordinance 2009, respectively, both of which will also come into force on 1 July 2009.

 

3. RECOMMENDATION 

  1. It is recommended that the Minister should sign, date and seal the draft Order and that it should be returned to the States Greffe.

 
 
 
 

FINANCE INDUSTRY EXECUTIVE

Finance Industry Development

15 June 2009

 

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