Document ID: chunk:federal_register_of_legislation:C2004C01070:clause:1_623
Version: federal_register_of_legislation:C2004C01070
Segment Type: clause
Provision Reference: sch 1 cl 623
Character Range: 194686–195670

623  Collateral benefits not allowed

 (1) A bidder, or an associate, must not, during the offer period for a takeover bid, give, offer to give or agree to give a benefit to a person if:
 (a) the benefit is likely to induce the person or an associate to:
 (i) accept an offer under the bid; or
 (ii) dispose of securities in the bid class; and
 (b) the benefit is not offered to all holders of securities in the bid class under the bid.

 (2) For the purpose of this section, a person does not receive a benefit that is not offered under a takeover bid merely because the person sells bid class securities on‑market and the takeover bid is an off‑market bid or a conditional bid.

 (3) This section does not prohibit:
 (a) the variation of a takeover offer as provided by sections 649A to 650D; or
 (b) an acquisition of securities through an on‑market transaction; or
 (c) simultaneous takeover bids for different classes of securities in the target.

Division 3—The offer period