BUSINESS MERGERS AND ACQUISITIONS ACT Article 29
If as resolved by the general meeting, a company may by means of share exchange be acquired by any other surviving or newly incorporation company as a 100% held subsidiary company pursuant to the following requirements:1.The said resolution by the general meeting shall be adopted by a majority vote at the meeting attended by shareholders representing two-thirds or more of the total number of the issued shares; the same governs where the designated transferee company is a surviving company;2.Requirements set forth in the latter of Article 197(1) of the Company Act, Article 227 when the latter of Article 197(1) of the Company Act shall apply mutatis mutandis, and Articles 22-2 and 26 of the Securities and Exchange Act are not applicable to the share exchange described herein.For a company that has its share certificates publicly issued, if the total number of shares represented by shareholders present at the general meeting is short of the quorum provided Item 1 under the preceding paragraph, the resolution may be adopted by two-thirds or more of the shareholders present at the general meeting who represent a majority of the total number of issued shares.In case the trading of shares on the stock exchange or OTC market is terminated because the listed or OTC company is acquired by any other surviving or newly incorporated company as a 100% held subsidiary company while the surviving or newly incorporated company is not a listed or OTC company, the resolution of the general meeting under the preceding two paragraphs shall be adopted by two-thirds or more of the votes of the shareholders who represent the total number of issued shares of the listed or OTC company.Where higher criteria for the total number of shares represented by the shareholders present at the general meeting and the total number of votes required to adopt a resolution thereat under the preceding three paragraphs are specified in the Articles of Incorporation, such higher criteria shall prevail.If the transferee company is a newly incorporate company, the general meeting held under Item 1, Paragraph 1 of this Article shall be deemed as the meeting of promoters of the transferee company; it may draw up the Articles of Incorporation and directors and supervisors may be elected in that same meeting without being subject to Article 128, Articles 129 through 139, 141 and 155 of the Company Act.In case that the surviving transferee company issued new shares as the consideration, that the number of those shares will not exceed twenty percent of the total number of issued voting shares of that company, or that the total amount of shares, cash or the total value of the assets delivered will not exceed twenty percent of the net value of that company, a resolution for share exchange agreement shall be adopted by a majority vote of the directors present at the Board meeting attended by directors representing two-thirds or more of the directors of the surviving company. However, in case the assets of the transferor company may not be insufficient to offset its liabilities, or the surviving transferee company needs to amend its Articles of Incorporation, Item 1 and 2, Paragraphs 1 of this Article relating to the resolution of the general meeting of the surviving transferee company still govern. Article 18 (6) of this Act shall apply mutatis mutandis to the procedure of share exchange in this Article.
中文原文 企業併購法第29條
公司經股東會決議，得以股份轉換之方式，被他既存或新設公司收購為其百分之百持股之子公司，並依下列各款規定辦理：
一、公司股東會之決議，應有代表已發行股份總數三分之二以上股東之出席，以出席股東表決權過半數之同意行之。
預定之受讓股份之公司為既存公司者，亦同。
二、公司法第一百九十七條第一項後段、第二百二十七條準用第一百九十七條第一項後段及證券交易法第二十二條之二及第二十六條規定，於股份轉換不適用之。
公開發行股票之公司，出席股東之股份總數不足前項第一款定額者，得以有代表已發行股份總數過半數股東之出席，出席股東表決權三分之二以上之同意行之。
前二項股東會決議，屬上市（櫃）公司被他既存或新設之非上市（櫃）公司收購為其百分之百持股之子公司而致終止上市（櫃）者，應經該上市（櫃）公司已發行股份總數三分之二以上股東之同意行之。
前三項出席股東股份總數及表決權數，公司章程有較高之規定者，從其規定。
預定受讓股份之公司為新設公司者，第一項第一款規定轉換公司之股東會，視為受讓公司之發起人會議，得同時訂立章程，並選舉新設公司之董事及監察人，不適用公司法第一百二十八條、第一百二十九條至第一百三十九條、第一百四十一條及第一百五十五條規定。
受讓股份之既存公司支付對價發行之新股總數，未超過該公司已發行有表決權股份總數百分之二十，或支付之股份、現金或其他財產價值總額未超過該公司淨值百分之二十者，得作成轉換契約，經受讓股份之既存公司董事會以三分之二以上董事出席及出席董事過半數之決議行之。
但轉換股份之公司有資產不足抵償負債之虞或受讓股份之既存公司有變更章程之必要者，仍應適用第一項第一款及第二項有關受讓股份之既存公司股東會決議之規定。
第十八條第六項規定，於本條之股份轉換程序準用之。
一、公司股東會之決議，應有代表已發行股份總數三分之二以上股東之出席，以出席股東表決權過半數之同意行之。
預定之受讓股份之公司為既存公司者，亦同。
二、公司法第一百九十七條第一項後段、第二百二十七條準用第一百九十七條第一項後段及證券交易法第二十二條之二及第二十六條規定，於股份轉換不適用之。
公開發行股票之公司，出席股東之股份總數不足前項第一款定額者，得以有代表已發行股份總數過半數股東之出席，出席股東表決權三分之二以上之同意行之。
前二項股東會決議，屬上市（櫃）公司被他既存或新設之非上市（櫃）公司收購為其百分之百持股之子公司而致終止上市（櫃）者，應經該上市（櫃）公司已發行股份總數三分之二以上股東之同意行之。
前三項出席股東股份總數及表決權數，公司章程有較高之規定者，從其規定。
預定受讓股份之公司為新設公司者，第一項第一款規定轉換公司之股東會，視為受讓公司之發起人會議，得同時訂立章程，並選舉新設公司之董事及監察人，不適用公司法第一百二十八條、第一百二十九條至第一百三十九條、第一百四十一條及第一百五十五條規定。
受讓股份之既存公司支付對價發行之新股總數，未超過該公司已發行有表決權股份總數百分之二十，或支付之股份、現金或其他財產價值總額未超過該公司淨值百分之二十者，得作成轉換契約，經受讓股份之既存公司董事會以三分之二以上董事出席及出席董事過半數之決議行之。
但轉換股份之公司有資產不足抵償負債之虞或受讓股份之既存公司有變更章程之必要者，仍應適用第一項第一款及第二項有關受讓股份之既存公司股東會決議之規定。
第十八條第六項規定，於本條之股份轉換程序準用之。