The past 12 months have seen a number of amendments to key
laws and regulations in Korea affecting trade, mergers and
acquisitions, pensions and investments in real estate.
The first change saw Korea's National Assembly begin the
year by passing several amendments to the Securities and
Exchange Law, which became effective on March 29 2005. These
amendments relate to tender offer rules and shareholding
disclosure rules (the 5% reporting rule) and are aimed at
strengthening precautionary measures against hostile
The amendments to tender offer rules remove the restrictions
prohibiting an investor from making multiple tender offers
within a six-month period as well as restrictions preventing a
company that is subject to a tender offer from issuing voting
stocks and other equity-linked debt securities during the
tender offer period.
The amendments to the 5% reporting rule strengthen the
disclosure obligation of investors by: (i) requiring an
investor to disclose...