Part XII

Control Over Authorised Persons

Acquiring, increasing and reducing control

Acquiring control
179
1
For the purposes of this Part, a person (“the acquirer”) acquires control over a UK authorised person (“A”) on first falling within any of the cases in subsection (2).
2
The cases are where the acquirer—
a
holds 10% or more of the shares in A;
b
is able to exercise significant influence over the management of A by virtue of his shareholding in A;
c
holds 10% or more of the shares in a parent undertaking (“P”) of A;
d
is able to exercise significant influence over the management of P by virtue of his shareholding in P;
e
is entitled to exercise, or control the exercise of, 10% or more of the voting power in A;
f
is able to exercise significant influence over the management of A by virtue of his voting power in A;
g
is entitled to exercise, or control the exercise of, 10% or more of the voting power in P; or
h
is able to exercise significant influence over the management of P by virtue of his voting power in P.
3
In subsection (2) “the acquirer” means—
a
the acquirer;
b
any of the acquirer’s associates; or
c
the acquirer and any of his associates.
4
For the purposes of this Part, each of the following is to be regarded as a kind of control—
a
control arising as a result of the holding of shares in A;
b
control arising as a result of the holding of shares in P;
c
control arising as a result of the entitlement to exercise, or control the exercise of, voting power in A;
d
control arising as a result of the entitlement to exercise, or control the exercise of, voting power in P.
5
For the purposes of this section and sections 180 and 181, “associate”, “shares” and “voting power” have the same meaning as in section 422.