Foreign Acquisitions and Takeovers Amendment Act 2010 (1 of 2010)
Schedule 1 Amendments
Foreign Acquisitions and Takeovers Act 1975
8 Subsection 9(1)
Repeal the subsection, substitute:
(1) For the purposes of this Act, a person is taken to hold a substantial interest in a corporation if the person, alone or together with any associate or associates of the person:
(a) is in a position to control not less than 15% of the voting power in the corporation; or
(b) is in a position to control not less than 15% of the potential voting power in the corporation; or
(c) holds interests in not less than 15% of the issued shares in the corporation; or
(d) would hold interests in not less than 15% of the issued shares in the corporation, if shares in the corporation were issued as the result of the exercise of all rights of a kind mentioned in subsection 11(2A).
(1A) For the purposes of this Act, 2 or more persons are taken to hold an aggregate substantial interest in a corporation if they, together with any associate or associates of any of them:
(a) are in a position to control not less than 40% of the voting power in the corporation; or
(b) are in a position to control not less than 40% of the potential voting power in the corporation; or
(c) hold interests in not less than 40% of the issued shares in the corporation; or
(d) would hold interests in not less than 40% of the issued shares in the corporation, if shares in the corporation were issued as the result of the exercise of all rights of a kind mentioned in subsection 11(2A).
(1B) For the purposes of paragraphs (1)(c) and (1A)(c), in determining the percentage of the interests in the issued shares in a corporation that a person holds at a particular time, if:
(a) the person has a right that, if exercised, might result in the person holding an interest in an issued share in the corporation; and
(b) it cannot be determined at that time (whether from the right itself or from the circumstances existing at that time) whether the exercise of the right would have that result;
assume that the right were exercised at that time.
(1C) For the purposes of paragraphs (1)(d) and (1A)(d), in determining the percentage of the interests in the issued shares in a corporation that a person would hold at a particular time if shares were issued as mentioned in those paragraphs, if:
(a) the person has a right that, if exercised, might result in the person holding an interest in an issued share in the corporation; and
(b) it cannot be determined at that time (whether from the right itself or from the circumstances existing at that time) whether the exercise of the right would have that result;
assume that the right were exercised at that time.
Copyright notice
© Australian Taxation Office for the Commonwealth of Australia
You are free to copy, adapt, modify, transmit and distribute material on this website as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products).