A New Helsinki Takeover Code Entered Into Effect On 1 January 2014

The Securities Market Association has published a new Helsinki Takeover Code, which entered into effect on 1 January 2014, relevant for all parties involved in public takeover bids, including bidders, target companies and their advisors. The new code contains recommendations for bidders and target companies, as well as their shareholders and management.

The Helsinki Takeover Code was revised in response to the enactment of the Securities Market Act (746/2012). Chapter 11, Section 28 of the Securities Market Act requires that listed companies belong to an independent body, which is widely recognized within industry and commerce and established in Finland, and which has issued a recommendation to promote compliance with good securities markets practice on the actions of the management of the offeree company with regard to a takeover bid and on structures based on contract relating to maintenance of control or to guide the corporate-law procedures to be complied with in