Business Operations and Contractual Relationships

An acquisition of shares does not per se affect the business operations or its capital or liabilities because the legal identity of the company remains unchanged. The consent of creditors and other counterparties of the target company is normally not required. Certain agreements, however, for instance credit or insurance agreements may contain a so-called change of control provision, which entitles the counterparty to terminate the agreement prematurely, in case substantial changes occur in the ownership of the target company.