Section 984 | Further provision about rights conferred by section 983

(1)Rights conferred on a shareholder by subsection (2), (3) or (4) of section 983 are exercisable by a written communication addressed to the offeror.

(2)Rights conferred on a shareholder by subsection (2), (3) or (4) of that section are not exercisable after the end of the period of three months from—

(a)the end of the period within which the offer can be accepted, or

(b)if later, the date of the notice that must be given under subsection (3) below.

(3)Within one month of the time specified in subsection (2), (3) or (4) (as the case may be) of that section, the offeror must give any shareholder who has not accepted the offer notice in the prescribed manner of—

(a)the rights that are exercisable by the shareholder under that subsection, and

(b)the period within which the rights are exercisable.

If the notice is given before the end of the period within which the offer can be accepted, it must state that the offer is still open for acceptance.

(4)Subsection (3) does not apply if the offeror has given the shareholder a notice in respect of the shares in question under section 979.

(5)An offeror who fails to comply with subsection (3) commits an offence.If the offeror is a company, every officer of that company who is in default or to whose neglect the failure is attributable also commits an offence.

(6)If an offeror other than a company is charged with an offence for failing to comply with subsection (3), it is a defence for him to prove that he took all reasonable steps for securing compliance with that subsection.

(7)A person guilty of an offence under this section is liable—

(a)on conviction on indictment, to a fine;

(b)on summary conviction, to a fine not exceeding the statutory maximum and, for continued contravention, a daily default fine not exceeding one-fiftieth of the statutory maximumone-fiftieth of the greater of £5,000 or the amount corresponding to level 4 on the standard scale for summary offences.^F1