M&A Foundations · glossary
Size tests under the UK listing regime that measure how big a transaction is relative to the listed company doing it (comparing things like assets, profits and consideration). The bigger the deal in proportion to the company, the heavier the announcement and approval obligations. Chapter 4
Explained in Chapter 4, Structuring the Deal and the Group, of M&A Foundations.
Shareholder approval and class tests. Public markets size an acquisition against the buyer itself. Under class tests, the listing rules compare the target with the listed buyer — its assets, its profits, the consideration against the buyer’s market capitalisation. The bigger the ratios, the heavier the obligations: detailed market notifications for significant deals, up to a full shareholder vote for company-transforming ones. A reverse takeover, where the target is bigger…Read Chapter 4, Structuring the Deal and the Group →
Related terms
Where this term lives
Every chapter of M&A Foundations is free to read, including the full training share purchase agreement. It is part of one complete fictional deal, with every document attached and a test after every chapter. Open M&A Foundations → · All terms A–Z →