takeovers / corporate plays

  1. 1,987 Posts.
    A question for those more knowledgable than me.

    If a company is buying up shares in preparation for a takover, I understand that they must delcare themselves as a significant shareholder when their stake reaches 5% of issued shares.

    Does this apply only to FPO's (and other instruments that carry voting rights etc)? What is the situation with options? Can a company get to 4.99% of FPO's, not declare a significant holding, and all the while be buying up big on options in order to exercise them and jump to a higher shareholding?

    Help appreciated.


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