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Legal Terms - concert party (consortium)
a deal (which might or might not be enforceable by law) amongst several individuals to purchase company stock in order to amass a substantial portion of the voting stock. A member of a concert party is considered to be interested in both his own shares and those of other consortium members. Under the Companies Act of 2006 and the guidelines overseen by the Panel on Takeovers and Mergers, anyone who develops an interest in 3% or more of the voting shares of a public company is required to notify the company. A corporation might be able to thwart a *takeover with the use of such disclosure; it might also set off regulations about partial offers, which might require the consortium to submit an offer to purchase the remaining shares.
a deal (which might or might not be enforceable by law) amongst several individuals to purchase company stock in order to amass a substantial portion of the voting stock. A member of a concert party is considered to be interested in both his own shares and those of other consortium members. Under the Companies Act of 2006 and the guidelines overseen by the Panel on Takeovers and Mergers, anyone who develops an interest in 3% or more of the voting shares of a public company is required to notify the company. A corporation might be able to thwart a *takeover with the use of such disclosure; it might also set off regulations about partial offers, which might require the consortium to submit an offer to purchase the remaining shares.
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