FOREIGN ACQUISITIONS AND TAKEOVERS ACT 1975 - SECT 17 Meanings of interest and aggregate interest of a specified percentage in an entity or unincorporated limited partnership

FOREIGN ACQUISITIONS AND TAKEOVERS ACT 1975 - SECT 17

Meaning of interest of a specified percentage in an entity

  (1)   A person holds an interest of a specified percentage in an entity if the person, alone or together with one or more associates of the person:

  (a)   is in a position to control at least that percentage of the voting power or potential voting power in the entity; or

  (b)   holds interests in at least that percentage of the issued securities in the entity; or

  (c)   would hold interests in at least that percentage of the issued securities in the entity if securities in the entity were issued or transferred as the result of the exercise of rights of a kind mentioned in paragraph   15(1)(b) or (c).

Note 1:   See also section   18 (rules relating to determining percentages of interests in entities) and the definition of acquire in section   20.

Note 2:   A percentage may be specified by referring to:

(a)   "20%"; or

(b)   "any percentage"; or

(c)   a "substantial interest" or a "direct interest"; or

(d)   a percentage that a person holds in another entity.

Meaning of aggregate interest of a specified percentage in an entity

  (2)   Two or more persons (who are not associates of each other) hold an aggregate interest of a specified percentage in an entity if they, together with any one or more associates of any of them:

  (a)   are in a position to control at least that percentage of the voting power or potential voting power in the entity; or

  (b)   hold interests in at least that percentage of the issued securities in the entity; or

  (c)   would hold interests in at least that percentage of the issued securities in the entity if securities in the entity were issued or transferred as the result of the exercise of rights of a kind mentioned in paragraph   15(1)(b) or (c).

Meaning of interest of a specified percentage in an unincorporated limited partnership

  (2A)   A person holds an interest of a specified percentage in an unincorporated limited partnership if the person, alone or together with one or more associates of the person:

  (a)   is in a position to control at least that percentage of the voting power or potential voting power in the partnership; or

  (b)   is entitled to at least that percentage of the total distributions of capital, assets or profits of the partnership on the dissolution of the partnership; or

  (c)   is entitled to at least that percentage of the total distributions of capital, assets or profits of the partnership otherwise than on the dissolution of the partnership.

Proxies and representatives

  (3)   In determining the percentage of voting power or potential voting power that a person is in a position to control in an entity or unincorporated limited partnership, disregard any votes that he or she controls as a proxy or representative.