Legal regulation of the offer of compulsory purchase (A comparative study)

Abstract

A compulsory purchase offer is a offer made by a natural or legal person after he has acquired the majority of the shares of a certain company. A purchase offer is required for the company to acquire the remaining shares. The purpose of this obligation is to protect the remaining minority shareholders in the company to facilitate the sale of their shares and exit from the company instead of remaining in them and to comply with the decisions of the majority, as well as to allow those who acquired the majority of the shares of the company to complete control and acquisition of the remaining shares. The law shall specify the percentage of shares required to make the compulsory offer and the price of such offer and the period during which it must be submitted. Therefore, whoever contravenes these provisions is subject to a legal sanction, and in any case the compulsory offer is under the supervision and supervision of the General Authority in the stock market .