If a bidder acquires, directly or indirectly, control (at least 30 per cent of the voting rights) over a public limited company, they are obliged, pursuant to section 35 of the German Takeover Act (WpÜG), to make a corresponding public announcement and to make a mandatory offer to the remaining shareholders. In introducing the mandatory offer, the legislature's aim was to enhance the competitiveness of Germany as a financial centre and its attractiveness to investors. This therefore raises the question of the implications of the mandatory offer under German law.
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