The Ontario Securities Commission has issued the final version of its proposed new rule dealing with takeover bids.

The OSC Bulletin indicates that Rule 62-504 Take-Over Bids and Issuer Bids was delivered to the minister responsible for the oversight of the commission on November 16. If the minister approves the rule, doesn’t reject it, or return it for further consideration, the rule will come into force on Feb. 1, 2008.

As part of the Canadian Securities Administrators’ initiative to harmonize and streamline securities law in Canada, the CSA published for comment a proposed national rule dealing with takeover bids — National Policy 62-203 Take-Over Bids and Issuer Bids.

The CSA recommended to their respective governments legislative amendments and rule-making authority that would remove detailed bid provisions from statutes and substitute general “platform” provisions to enable regulators to update bid requirements within a rule.

In Ontario, the government is seeking to achieve the same harmonization and modernization effect through proposed amendments to the section of securities legislation dealing with bids, and by adoption of the proposed rule.

The commission has sought the minister’s approval of the rule to take effect February 1, 2008. It has also requested the minister seek proclamation of legislative changes so they come into force on the same date. The revised legislation and the proposed rule will comprise a new take-over bid and issuer bid regime in Ontario.

The proposed national rule will be implemented as a multilateral instrument in jurisdictions other than Ontario. Subject to all necessary ministerial approvals, it will come into force in the other CSA jurisdictions on February 1, 2008.

The OSC notes that it has made changes to the proposed rule. However, as these changes are not material, the rule is not being published for a further comment period.