The Morrison Government is consulting on corporate control transactions in Australia to improve takeover bids and members' schemes of arrangement and reduce the time and costs involved in mergers and acquisitions.
In 2021, takeover bids (overseen by the Takeovers Panel) represented 39% of all control transactions, with the remaining 61% undertaken via scheme of arrangement (overseen by the Court).
The Government last year announced it would consult on expanding the role the Takeovers Panel plays in control transactions, including options for the Takeovers Panel to consider and/or approve members' schemes of arrangement and potentially give advance rulings.
Treasury will consult and seek feedback on:
- the operation of takeovers and schemes generally, and whether they are meeting the broader policy objectives in respect of control transactions in Australian law
- the role of the Takeovers Panel and ASIC in regulating takeovers generally
- the role of the Court, the Takeovers Panel, and ASIC in regulating schemes generally
- whether the Takeovers Panel should be empowered to give advance rulings.
The Morrison Government is committed to growing our economy as part of our plan for a stronger future. Control transactions play an important role in ensuring Australia's capital markets remain efficient and competitive.
The consultation paper is available on the Treasury website with consultation closing on 3 June 2022.
