Lord Mandelson urges changes to the Takeover Code

By Louise Armitstead, Chief City Correspondent Published: 6:30AM GMT 02 March 2010

Speaking at a Mansion House dinner, the Business Secretary laid out "suggestions" to shorten the bid timetable, revoke the change of sidestep supports in takeovers and have acquirers some-more accountable.

Lord Mandelson pronounced that whilst "nobody believes that feeble behaving companies should be protected" there is a "strong box for throwing a little additional courage in the system."

Mandelson on UK bids: right target, wrong ammo Takeover Panel sets deadline for Babcock bid for VT Takeover Panel"s calendar examination is prolonged owing Cadbury takeover row prompts manners revamp UK takeover starting point should be raised, says ex-Cadbury authority Change the taxation formula not the Takeover Code to inspire prolonged termism

Last week the Panel, the eccentric physique that has enforced the UK Takeover Code given 1968, voiced the begin of a conference to see if the complement could "usefully be improved"".

The examination came only weeks after Roger Carr, the authority of Cadbury , called for remodel in the arise of his five-month conflict with his American opposition Kraft. Mr Carr was upheld by Lord Mandelson.

The commercial operation cabinet member referred to the reforms should include:

Raising the compulsory turn of shareholder await for a takeover from 50pc to two-thirds. Lowering the order for avowal of share tenure during a bid from 1pc to 0.5pc so "companies can see who is construction up stakes on their register."Giving bidders less time to "put up or close up" so that "the phoney takeover fight ends some-more quickly". Requiring bidders to set out publicly how they intend to financial their bids "not only on day one, but over the prolonged term, and their plans for the acquired company, together with sum of how they intend to have cost savings."Requiring larger clarity on advisors" fees and incentives.

He added: "We need directors versed to be stewards rather than only auctioneers. If this requires restating the 2006 Companies Act, afterwards I am peaceful to do that."