FOREIGN ACQUISITIONS AND TAKEOVERS ACT 1975 - SECT 41 Meaning of significant action --businesses

FOREIGN ACQUISITIONS AND TAKEOVERS ACT 1975 - SECT 41

  (1)   An action is a significant action if the conditions in this section are met.

First condition--kinds of action

  (2)   The first condition is that the action is any of the following:

  (a)   to acquire a direct interest in an Australian business that is an agribusiness;

  (b)   to acquire interests in assets of an Australian business;

  (c)   to enter or terminate a significant agreement with an Australian business.

Note:   An action mentioned in paragraph   (2)(b) or (c) may be taken in relation to an Australian business that is an agribusiness (see section   42).

Second condition--threshold

  (3)   The second condition is that the threshold test is met in relation to the Australian business (see Subdivision B of Division   4).

Third condition--action taken by a foreign person

  (4)   If paragraph   (2)(a) applies, the third condition is that the action is or is to be taken by a foreign person.

Third condition--action results in change in control

  (5)   If paragraph   (2)(b) or (c) applies, the third condition is that there would be or has been a change in control of the business as a result of the action (see Subdivision C of Division   4).

  (6)   However, the third condition in subsection   (5) is not required to be met if:

  (a)   paragraph   (2)(b) applies; and

  (b)   the action is or is to be taken by a foreign person who controls the business (whether alone or together with one or more associates) immediately before the action is or is to be taken.