Ann: Becoming a substantial holder, page-5

AI tells me: (I don't see these as of particular concern but always good to do DD)

Regal Funds Management, a prominent investment firm, has been the subject of investigations by the Australian Securities and Investments Commission (ASIC). In 2019, the firm announced it was being investigated by the ASIC, hours after the Australian Federal Police executed a search warrant on behalf of the corporate regulator. The reason for the investigation was related to its trading in certain securities. Regal Funds Management confirmed the investigation and stated that it was fully cooperating¹.

Regal Funds Management and its chief investment officer, Phil King, have been scrutinized by the ASIC in the past. In 2015, ASIC issued enforceable undertakings against institutional stockbroker Angus Aitken and his employer Bell Potter Securities, as well as Mr. King and Regal, over trading in Network Ten shares. The ASIC investigation found that Mr. King had realized a gross profit of $80,000 from short-selling Ten shares based on confidential client information provided to him by Mr. Aitken¹.

However, Regal Funds Management has continued its business activities. Recently, it was reported that VGI Partners would merge with Regal Funds Management, with Regal shareholders having a controlling interest in the merged firm that would manage about A$6 billion ($4.2 billion)².

The company has also been involved in several funding rounds and acquisitions. For instance, it participated in the funding of Thinxtra, The IoT Telco, which raised A$5,000,000 in debt financing in June 2023³, and of Shaype, which raised A$33,000,000 in a Series C round in September 2022³. It also raised a new fund, the Regal Resources Long Short Fund, with A$75,000,000 in June 2022³, and acquired VGI Partners in May 2022 for an undisclosed amount³. Also, in May 2022, Regal Funds Management went public³.

While these details provide a snapshot of Regal Funds Management's recent activities, the historical regulatory issues can be considered red flags. It is always advisable to do a thorough due diligence before making investment decisions.