The latestinstruction, issued by the State Securities Commission early March,requires listed firms to implement bids through a negotiation system atstock exchanges, while unlisted firms will have to execute takeoversthrough the Vietnam Securities Depository Centre.
Under the new rules, bid participants must also meet minimum tax and bidding fees,
Public takeovers are commonplace in the global market although locallythey have only started to appear since the bid between Hung Vuong andAn Giang Fisheries Import-Export Co last year.
An official from the State Securities Commission was quoted as sayingthat the instruction on public acquisition bids is part of theregulators’ attempt to give more power to domestic enterprises forM&A activities.” The official added that the instruction would helpensure shareholders’ benefit from transparent bid implementation./.