Companies Act 2014 section 1087F

Irrevocable power of attorney

Section 1087F deals with the creation of an irrevocable power of attorney in the context of takeover offers for shares in a relevant issuer, where acceptance is communicated through electronic settlement systems.

• An irrevocable power of attorney is automatically created in favour of the offeror when a person accepts an offer for shares in a relevant issuer, provided the offer terms include such a provision.
• The power of attorney applies where the acceptance of the offer is communicated by way of dematerialised instructions through a securities settlement system.
• Dematerialised instructions are electronic instructions sent or received through a central securities depository's settlement system, following that system's procedures.
• The term "offeror" extends to include any person nominated by the offeror to act on their behalf.