Thanks for extracting the key parts for what I was referring to. Breaking it down, management seems to have miscalculated and not notified according to the rules, so hence this mess.
"This 25% benchmark is solely for the purposes of giving clear and easily applied guidance to listed entities as to what transactions ought to be notified to ASX under Listing Rule 11.1."
So, didn't management get the calculations right? I would have thought that at 25% it would have been a bit hard not to get close, and therefore notify the ASX as appropriate, just in case. So how did management get it so wrong???
"The fact that a transaction may result in a change of scale of that magnitude DOES NOT mean that ASX regards the transaction as one that would warrant the exercise of its discretion to require security holder approval under Listing Rule 11.1.2 or to require re-compliance with ASX’s admission and quotation requirements under Listing Rule 11.1.3."
Therefore, the way I read it, if management had bothered to run it past the ASX to check, even if it was a 'change of scale of that magnitude' didn't mean that ASX would require anything further!!!!
As management have appeared to have not informed the ASX, where it appears there is a significant change of scale, and due to no notification or advice to the ASX prior to the acquisition, I suspect, as I previously mentioned, the rules don't allow for a "oh sorry we didn't understand", and we are now being treated under a different section.
I doubt you can take the situation back to prior to the announcement, and management stupidly, or deliberately, missed their opportunity to comply with the rules.
Therefore, I suspect we are now under a different set of rules, as the circumstances have probably dictated that we are now considered by the ASX as attempting a 'back door listing', as the information required to prevent this scenario was never presented to the ASX, so we move on to a different level.
A sort of a big slap on the wrist, for not notifying in the first place, so more things to comply with, and even harder to get trading again. Is this now too hard for management???
Is management that stupid, or is there another agenda?
I am guessing management's responses over the nearly last 6 months has definitely not helped, hence the stalemate.
By all means put in complaints to ASIC, however, it seems that management haven't followed the rules as stated by the ASX. I doubt ASIC can add much to solve the problem, but worth a try. I will also put in a complaint.
I admittedly don't have much knowledge in this area, so can ASIC force the company to comply???? I am not familiar with their powers, and would be interested to know.
Management, obviously haven't made any headway, as I suspect, it doesn't really interfere with their operations, and a small minority of shareholders can just be fobbed off, possibly indefinitely.
Can anyone see a way forward? The company is listed, just not trading. It is a viable business, but we can't get access to our funds. What legislation does this fall under? Does ASIC have the "teeth" in legislation to deal with it?
Yes I know, more dribble, however, like everyone else, trying to understand what has gone wrong, so you can fix it.
Can't fix anything, if you don't understand what really caused it, otherwise you are just going around in circles and not solving anything.
Cheers
GSM
RRP Price at posting:
4.1¢ Sentiment: Hold Disclosure: Held
