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Article 27
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Public companies participating in a merger, demerger, acquisition, or transfer of shares may not arbitrarily alter the share exchange ratio or acquisition price unless under the below-listed circumstances, and shall stipulate the circumstances permitting alteration in the contract for the merger, demerger, acquisition, or transfer of shares:
- Cash capital increase, issuance of convertible corporate bonds, or the issuance of bonus shares, issuance of corporate bonds with warrants, preferred shares with warrants, stock warrants, or other equity based securities.
- An action, such as a disposal of major assets, that affects the company's financial operations.
- An event, such as a major disaster or major change in technology, that affects shareholder equity or share price.
- An adjustment where any of the companies participating in the merger, demerger, acquisition, or transfer of shares from another company, buys back treasury stock.
- An increase or decrease in the number of entities or companies participating in the merger, demerger, acquisition, or transfer of shares.
- Other terms/conditions that the contract stipulates may be altered and that have been publicly disclosed.
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