Takeover code

The Indian rules governing substantial acquisitions of shares and takeovers of listed companies, administered by the securities regulator.

The framework does three things. It sets the thresholds at which acquiring shares or control obliges the acquirer to make an open offer. It fixes how the offer price is calculated, drawing on recent negotiated prices and market averages. And it requires disclosure as holdings cross specified levels, so the market can see a stake being built.

Creeping acquisition provisions allow an existing controller to add a limited amount each year without triggering an offer, which is how promoter stakes rise gradually without a formal event.

Thresholds and formulas change. Verify the current text before applying any figure.