LR 10.6 Reverse takeover requirements
A listed company must in relation to a reverse takeover comply with the requirements of LR 10.5 (Class 1 requirements) for that transaction.
Material change to terms of reverse takeover1
1LR 10.5.2 R and LR 10.5.3 G will apply if there is a material change to the terms of a reverse takeover.
Cancellation of listing
When a listed company completes a reverse takeover, the FSA will generally cancel the listing of its equity shares 2(see LR 5.2.3 G) and the company will be required to re-apply for the listing of the equity shares 2and satisfy the relevant requirements for listing (except that LR 6.1.3 R (1)(b)) will not apply in relation to the listed company's accounts).
Suspended listing1
1Before a listed company announces a reverse takeover which has been agreed or is in contemplation or where details of the reverse takeover have leaked, a listed company should consider whether a suspension of listing is appropriate. Generally, when a reverse takeover is announced or leaked, because of its significant size there will be insufficient information in the market about the proposed transaction and the company will be unable to assess accurately its financial position and inform the market accordingly. So, suspension will often be appropriate (see LR 5.1.2 G (3) and (4)). But, if the FSA is satisfied that there is sufficient information in the market about the proposed transaction it may agree with the company that a suspension is not required.