Bank Act (S.C. 1991, c. 46)

Act current to 2014-11-11 and last amended on 2014-06-19. Previous Versions

Marginal note:When approval not required
  •  (1) Despite sections 875 and 887, the approval of the Minister is not required if

    • (a) the Superintendent has, by order, directed the bank holding company to increase its capital and shares of the bank holding company are issued and acquired in accordance with the terms and conditions, if any, that may be specified in the order; or

    • (b) a person, other than an eligible agent, who controls, within the meaning of paragraph 3(1)(a), the bank holding company acquires additional shares of the bank holding company.

  • Marginal note:Exception

    (2) Paragraph (1)(a) does not apply in respect of a bank holding company with equity of twelve billion dollars or more.

  • 2001, c. 9, s. 183;
  • 2007, c. 6, s. 132;
  • 2012, c. 5, s. 91, c. 31, s. 122.
Marginal note:Pre-approval

 For the purposes of sections 875 and 887, the Minister may approve

  • (a) the purchase or other acquisition of any number or percentage of shares of a bank holding company that may be required in a particular transaction or series of transactions; or

  • (b) the purchase or other acquisition of up to a specified number or percentage of shares of a bank holding company within a specified period.

  • 2001, c. 9, s. 183.
Marginal note:Public holding requirement
  •  (1) Every bank holding company with equity of two billion dollars or more but less than twelve billion dollars shall, from and after the day determined under this section in respect of that bank holding company, have, and continue to have, voting shares that carry at least 35 per cent of the voting rights attached to all of the outstanding voting shares of the bank holding company and that are

    • (a) shares of one or more classes of shares that are listed and posted for trading on a recognized stock exchange in Canada; and

    • (b) shares none of which is beneficially owned by a person who is a major shareholder of the bank holding company in respect of the voting shares of the bank holding company or by any entity that is controlled by a person who is a major shareholder of the bank holding company in respect of such shares.

  • Marginal note:Determination of day

    (2) The day referred to in subsection (1) is

    • (a) if the bank holding company had equity of two billion dollars or more but less than twelve billion dollars on the day the bank holding company was formed or came into existence, the day that is three years after that day; and

    • (b) in any other case, the day that is three years after the day of the first annual meeting of the shareholders of the bank holding company held after the equity of the bank holding company first reaches two billion dollars.

  • Marginal note:Extension

    (3) If general market conditions so warrant and the Minister is satisfied that a bank holding company has used its best efforts to be in compliance with this section on the day determined under subsection (2), the Minister may specify a later day as the day from and after which the bank holding company must comply with subsection (1).

  • 2001, c. 9, s. 183;
  • 2007, c. 6, ss. 132, 133;
  • 2012, c. 5, s. 92.