• SEC Proposes Amendments to the Tender Offer "Best-Price" Rule
  • April 4, 2006
  • Law Firm: Paul, Weiss, Rifkind, Wharton & Garrison LLP - New York Office
  • The SEC recently has proposed amendments to the tender offer "best-price" rule in order to eliminate uncertainties that have led practitioners to structure transactions as mergers rather than tender offers. The amendments are designed to level the regulatory playing field between statutory mergers and tender offers and to reflect more appropriately the intended underlying premise of the rule -- that offerors pay consideration of equal value to all security holders for the securities that they tender in a tender offer. The SEC has requested that comments on the proposed amendments be submitted by February 21, 2006.