Hi Brabant - I think you might have missed the most important...

Hi Brabant - I think you might have missed the most important bit of the paragraph that you highlighted.

where ASX is satisfied that the entity is in genuine financial difficulties and continued trading in its securities is likely to be materially prejudicial to its ability to complete a transaction critical to its continued financial viability."

There is nothing to indicate that 4DS is any genuine financial difficulties.

I believe that entire clause is there for exceptions like MYL (Myanmar Metals) who may have encountered difficulties due to political uncertainty.

Other recent examples would be the onset of Covid when companies like Qantas, Virgin, Flight Centre & Webjet needed to be protected as all their businesses got crunched when fleets were grounded virtually overnight. This gave them time to negotiate various combinations of government assistance & external funding, to consult with unions and staff and prepare whatever contingency plans they could etc etc.

Thus I think mooselington & Creaturemagic are on the right path.

In essence, right now it's more about continuous disclosure obligations in relation to the technical update re imec & HGST. That's all.

The fact that HGST has also asked to see all the test results and 4DS's long stated objective of a corporate transaction just adds to the mix and could play out soon, after the technical update.

cheers