In Brief
This Supreme Court judgment clarifies interpretation of takeover regulations governing substantial acquisition of shares. The Court held that when a group of persons acting in concert collectively holds over 15% of shares, individual members within that group can acquire additional shares without triggering Regulation 10's requirement for a public announcement, provided the group's aggregate holding remains unchanged. The Court also held that regulatory directions for public offers issued with substantial delay (8 years) are discretionary and cannot be enforced without demonstrable harm to investors or markets. The Court affirmed the Appellate Tribunal's power to set aside such directions but clarified it cannot independently impose monetary penalties that were not previously initiated by the regulatory authority.
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