Brazilian bourse's plan to form takeover panel gains support
The plan of the Brazilian Stock Exchange to establish an independent takeover panel had received the support investors, according to a Bloomberg report. The Brazilian securities regulator had also said that it would respect all decisions arrived at by the body. The goal of the panel would be to insure that all shareholders would be given fair treatment. It would also hasten the conflict resolution process involving deals. Panel members would be given ten days to decide on transactions.
The panel was formed after the UK's Panel on Takeovers and Mergers. It would be funded by the companies of the bourse. The establishment of the panel was designed to improve corporate governance on the equity markets in Brazil.
Bloomberg reported that minority investors were not successful in the complaints they filed against USD 70.3 billion share sale of Petroleo Brasileiro in 2010. The USD 3.52 billion acquisition of Brasil Telecom Participacoes by Oi Sa which was started in 2009 has also been held up because of shareholder conflict.