Document ID: chunk:federal_register_of_legislation:C2023C00427:clause:2_27
Version: federal_register_of_legislation:C2023C00427
Segment Type: clause
Provision Reference: sch 2 cl 27
Character Range: 42443–44217

27  Meaning of unacceptable ownership situation

Medibank Private
(1) For the purposes of this Part, an unacceptable ownership situation exists in relation to Medibank Private if:
 (a) there is or are one or more persons each of whom holds a particular type of stake in Medibank Private of more than 15%; or
 (b) both:
 (i) the holding company is in existence; and
 (ii) a person other than the holding company holds any type of direct control interest in Medibank Private (disregarding subitem 42(6)).
(2) However, an unacceptable ownership situation does not exist in relation to Medibank Private under paragraph (1)(a) if no person other than the holding company holds any type of direct control interest in Medibank Private (disregarding subitem 42(6)).

Holding company
(3) For the purposes of this Part, an unacceptable ownership situation exists in relation to the holding company if there is or are one or more persons each of whom holds a particular type of stake in that company of more than 15%.
Note 1: The paragraph (1)(a) and subsection (3) limits on the ownership of a Medibank Private company relate to a person's stake in that company.
Note 2: Stake is defined in item 33.
Note 3: A person's stake is calculated on the assumption that the only shares in a Medibank Private company are shares held by persons other than the Commonwealth—see item 42.
Note 4: A person's stake includes the interests of the person's associates.
Note 5: There are 4 different types of stake. The main types are the percentage of total paid‑up share capital and the percentage of voting power.
Note 6: The paragraph (1)(a) and subsection (3) restrictions will be breached if any type of stake goes over the relevant limit.
Note 7: Direct control interest is defined in item 33.