13 AUG 2019
The Takeover Panel have published changes to Rule 29 of the Takeover Code. The changes to Rule 29, focussed on asset valuation, follow a consultation period that took place towards the end of 2018 (PCP 2018/1).
The UK Supplement to the Global Valuation Standards (the "Red Book"), effective from January 2019, includes UK VPGA 2.2 Takeovers and mergers, which given the publication date does not take account of changes to the Takeover Code.
This note is issued by the RICS valuation standards team to remind valuers to be vigilant in respect of the subject changes. Relevant changes to the UK Supplement will be considered as part of a wider schedule of updates proposed in 2020 but no immediate changes are proposed to reflect the Rule 29 changes.
It is not thought that changes to the Takeover Code will cause material difficulties for valuers where followed correctly, in accordance with the stated role of the valuer under the revised Rule 29 and the principles of the Red Book.