Standstill Agreement Deutsch

A recent example of two companies that signed such an agreement is Glencore plc, a Swiss-based commodities trader, and Bunge Ltd., a U.S. agricultural commodities trader. In May 2017, Glencore made an informal approach to buy Bunge. Shortly after, the parties reached a standstill agreement that prevents Glencore from accumulating shares or launching a formal bid for Bunge until a later date. The British and American creditor banks formed a commission that sent the Englishman Frank C. Tiarks and the American John D. Gannon to negotiate in Berlin. Meanwhile, on the German side, Carl Furstenberg and Otto Jeidels (Berliner Handels-Gesellschaft), Rudolf Loeb (Bankhaus Mendelssohn), Gustav Schlieper (Deutsche Bank und Disconto-Gesellschaft) and Ernst Spiegelberg (Bankhaus Warburg) and Reichsbank President Hans Luther had prepared their own draft status quo agreement. A standstill agreement is a form of anti-takeover measure.

The standstill period between deciding in favour of a particular bidder and concluding an agreement, the suspensive effect of complaints, and the invalidity of illegal direct awards improve bidders` rights in the European internal market. The German banking crisis occurred in the context of the global economic crisis. This has resulted in massive foreign exchange outflows and the inability of German banks to obtain loans abroad. In a system of freely tradable currencies, this would have led to a devaluation of the Reichsmark. However, gold hedging of all major currencies has blocked this path. The Reichsbank therefore used the instrument of exchange restrictions to prevent the exit of foreign funds. In 1953, the London Debt Agreement also definitively ended the status quo lending. As part of this agreement, a regulation based on that of the 1939 status quo agreement was adopted. Due to the economic recovery of the economic miracle, the problem of the foreign exchange shortage of the Federal Republic of Germany was quickly resolved and there was no need for further status quo agreements. From September 1954, the blocked balances could be transferred abroad through payment agreements by payment by way of settlement. By the time the 1954 German credit agreement expired on 1 December 1954, most of the status quo debts, which had amounted to DM 507 million in 1953, had been repaid.