Prior to the amendment of the Act, hostile takeovers and other time sensitive acquisitions were difficult to implement due to the existence of a standstill obligation. The insertion of Section 6A is a step towards facilitating hostile takeovers in the future.

To prevent hostile takeovers, businesses must be open with all parties involved, including shareholders, customers, and workers,

The onus of assigning a ‘fit and proper’ status being on the concerned banking company, would act as a hostile takeover defence.