Article 7 Information on the new proposed group structure and its impact on supervision

Article 7 applies specifically to proposed acquirers that are legal persons and requires them to submit two distinct analyses to the competent authority of the target entity.

The first concerns how the target entity would fit into the group's consolidated supervision structure post-acquisition, and the second addresses whether the acquisition could hinder the target entity's ability to report accurately and on time to its regulator.

This article connects closely to the broader notification requirements set out in Article 3, adding a supervisory transparency dimension that is particularly relevant where the acquisition creates or extends a group structure.

Important points:

• Legal person proposed acquirers must provide an analysis showing which group entities would fall under consolidated supervision after the acquisition, and at what levels (full or sub-consolidated).
• Provide a separate analysis of how the acquisition may affect the target entity's ability to supply timely and accurate information to its competent authority.
• Close links between the proposed acquirer and the target entity must be factored into that second analysis.