Once a company acquires 5% of the outstanding shares of a publicly held company,
ID: 2720572 • Letter: O
Question
Once a company acquires 5% of the outstanding shares of a publicly held company, it must:
Promise not to try to buy out the company in which it has made an investment (purchased 5% or more of the outstanding shares).
File a 13d with the Securities and Exchange Commission, stating whether it intends to eventually make an offer to buy out the company or be a passive investor.
Attempt to buy all the remaining shares outstanding within twelve months.
Try to gain control by launching a proxy contest.
a.Promise not to try to buy out the company in which it has made an investment (purchased 5% or more of the outstanding shares).
b.File a 13d with the Securities and Exchange Commission, stating whether it intends to eventually make an offer to buy out the company or be a passive investor.
c.Attempt to buy all the remaining shares outstanding within twelve months.
d.Try to gain control by launching a proxy contest.
Explanation / Answer
File a 13d with the Securities and Exchange Commission, stating whether it intends to eventually make an offer to buy out the company or be a passive investor.
b.File a 13d with the Securities and Exchange Commission, stating whether it intends to eventually make an offer to buy out the company or be a passive investor.
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