Hostile Takeovers and Anti-monopoly Regulations in China and Malaysia with Special Reference to US and UK Experiences

Along with the evolution in business and commerce, types and techniques of mergers
and acquisitions (M&A) especially in the form of hostile takeovers are developed and
diversified to meet the varying interests of acquiring companies. At the same time, the
growing concerns emerge where a number of large conglomerates begin to conduct hostile
takeovers with the objective of monopolizing certain industries and obtaining control on the
market. This is in adverse to the normal operation of overall market order which emphasis
is on fair competition. Consequently, the target companies may be responding by raising
monopoly issues if they become subject to a threat of hostile takeover. This Article will
review hostile takeovers regulations in China and Malaysia, as the emerging markets where
takeovers’ regulations are relatively still at their infancy. The main focus of the discussion
is to look into the extent of which the target companies in China and Malaysia may rely on
anti-monopoly rules as a response in defense instead of relying on conventional techniques.
A brief appraisal is made to US and UK anti-monopoly legislations. Both jurisdictions had
experienced intense Mergers and Acquisitions since 1950s, because then they had among
the most modernized companies.