On the 1st of April 2008 Act No. 104/2008 Coll., on
Takeover Bids and on Amendments to Certain Other Acts, came
into effect. The law comprehensively regulates takeover bids
for ownership interests in joint-stock companies with
registered offices in the Czech Republic whose securities have
been admitted to trading on the regulated market in the Czech
Republic, as well as other issues relating to takeover bids
with a foreign element. The Act impacts also on procedures
associated with the so-called squeeze-out of minority
shareholders.
The main reason why the new Act was passed is the
transposition of the Directive on Takeover Bids (Directive
2004/25/EC of the European Parliament and the Council) that
required new regulation of the price offered in mandatory bids,
the obligation to sell-out and the so-called breakthrough rule.
In addition, the Act eliminates some defects and ambiguities in
the
