City Code

The rules governing the management and timing of takeover bids involving companies listed on the London Stock Exchange, written and enforced by the Panel on Takeover and Mergers. The objective of the City Code is to ensure that high standards of integrity and fairness are maintained, and that shareholders in both the bidding and the target company are treated equitably. The Panel is not concerned with the financial or commercial advantages or disadvantages of a takeover, nor with competition issues. The City Code does not have the force of law, but, as the Code says "those who seek to take advantage of the facilities of the securities markets in the United Kingdom should conduct themselves in matters relating to takeovers in accordance with best business standards and so in accordance with the Code." It goes on to say: “Those who do not so conduct themselves may find that, by way of sanction, the facilities of those markets are withheld."