Which of the following is true regarding hostile takeovers in the European Union?
A) All member states must observe the neutrality rule and the breakthrough rule.
B) Member states may opt out of the neutrality rule and the breakthrough rule.
C) Member states may opt out of the neutrality rule,but all member states must observe the breakthrough rule.
D) Member states may opt out of the breakthrough rule,but all member states must observe the neutrality rule.

Question

Quizplus · Accepted Answer

Hostile takeovers in the European Union are governed by the EU Takeover Directive. Member states may opt out of the neutrality rule, which requires the target company's board to remain neutral and not take measures to obstruct the takeover bid. They may also opt out of the breakthrough rule, which allows the bidder to acquire control of the target company if it obtains a certain percentage of shares. Therefore, member states may choose not to observe these rules.

Which of the Following Is True Regarding Hostile Takeovers in the European