Comment on the following statement: The acquirer can opt out of the open offer process at any point of time by informing stock exchange wherein the shares of the target company are listed and furnishing a copy of the com

The statement that the acquirer can opt out of the open offer process at any point of time by merely informing the stock exchange and the target company is not correct . As per Regulation 23 of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, an open offer, once made, cannot be withdrawn except in the following specific circumstances: Statutory approvals required for the open offer or for effecting the acquisitions attracting the obligation to make an open offer have been refused, subject to such requirement for approvals having been specifically disclosed in the Detailed Public Statement and the letter of offer. Any condition stipulated in the agreement attracting the obligation to make the open offer is not met for reasons outside the reasonable control of the acquirer, subject to such conditions having been specifically disclosed in the DPS and the letter of offer. The sole acquirer, being a natural person, has died. Such other circumstances which, in the opinion of SEBI, merit withdrawal of the open offer. Therefore, withdrawal is not discretionary but is subject to specific, limited conditions.