I am no longer a practising lawyer but if I was asked to give the company advice on what might be said by them that could lead to the ASX requiring a disclosure to the market of information that a customer did not want exposed and prejudice that relationship I would advise as follows:
1. The ASX is taking a strict line with companies that put out information that could affect the market for its shares. The ASX requirement that the company disclose the name of Ford in a subsequent announcement is one such example.
2. If the company releases that it is employing TSMC to produce one hundred AKD1000 chips this is unlikely to be considered material and likely to affect the market for its shares in the view of the ASX and require further disclosure.
3. If however the company releases it is employing TSMC to produce 1 billion AKD1000 chips this would likely affect the market for its shares and the ASX is likely to require further disclosure.
4. There is no certainty that I can give to the company as to what number of chips will cause the ASX to decide further disclosure is required so the safest course of action if the company does not want to risk being forced by the ASX to make further disclosure beyond the number of chips is to not disclose the number and to make any disclosure that must be made general and entirely non specific.
My opinion only DYOR FF
AKIDA Ballista
BRN Price at posting:
59.0¢ Sentiment: Hold Disclosure: Held
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