Series 79 practice questionmediumWilliams Act and Tender Offer Regulation
Under Rule 14e-1(c) of the Williams Act, how soon after expiration of a successful tender offer must the bidder pay for tendered securities?
- AWithin 10 business days
- BPromptly, consistent with the applicable securities settlement cycle✓ Correct answer
- COn the same business day
- DWithin 30 calendar days
Explanation
Why B — Promptly, consistent with the applicable securities settlement cycle
Rule 14e-1(c) requires prompt payment. The SEC now interprets prompt payment by reference to the applicable Rule 15c6-1 settlement cycle, so a hard-coded two-to-three-business-day statement can become stale.
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