Going-Private Transaction (Banks and Bank Holding Companies) Regulations

SOR/2006-307BANK ACT
Registration 2006-11-28
Going-Private Transaction (Banks and Bank Holding Companies) Regulations
P.C. 2006-1432 2006-11-28Her Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to the definition going-private transactionFootnote a in section 2 and subsection 978(1)Footnote b of the Bank ActFootnote c, hereby makes the annexed Going-Private Transaction (Banks and Bank Holding Companies) Regulations.

Return to footnote aL.C. 2005, c. 54, s. 1(2)
Return to footnote bL.C. 2005, c. 54, s. 135
Return to footnote cS.C. 1991, c. 40
Interpretation

1 In these Regulations, Act means the Bank Act.

“going-private Transaction”

2 (1) For the purpose of the definition going-private transaction in section 2 of the Act, going-private transaction means an amalgamation or other transaction involving a distributing bank or a distributing bank holding company, other than an acquisition of shares under section 284 of the Act, that results in the interest of a holder of participating securities of the bank or bank holding company being terminated without the consent of the holder and without the substitution of an interest of equivalent value in participating securities of the bank or the bank holding company or of another bank or another bank holding company that succeeds to the business of the bank or the bank holding company, which participating securities have rights and privileges that are equal to or greater than the affected participating securities.

(2) For the purpose of subsection (1), participating securities means

(a) in the case of a bank holding company or bank other than a federal credit union, securities of a bank or a bank holding company that give the holder of the securities a right to share in the earnings of the bank or bank holding company and, after the liquidation, dissolution or winding up of the bank or bank holding company, a right to share in its assets; and
(b) in the case of a federal credit union, securities of the federal credit union.

SOR/2012-269, s. 17.
Previous Version

Coming into Force

3 These Regulations come into force on the day on which they are registered.