Ann: Update on Proposed Transaction-CMY.AX, page-62

It is dependent on what they try and put into a shell like CMY.

The issue seems to be that you have to define 'early stage' companies and define what revenue you can expect. And that in the case of some of these companies that failed to list, they had exceptionally low or no revenue.

If you considered Livn group, are they early stage because they would be brand new listed? early stage because they secured major funding only in OCT 2015? Mid stage because they have been operating since 2010? How much have they earned this year? Prior years? Is it year on year growth of clients and profit?

The new rules are there to stop companies that have rubbish product from listing in the first place. If they try and shove a rubbish product into CMY, its not likely to do anything major for the value of the company and would probably just end up costing us a lot because it runs the risk of getting canned for not being up to standard.

You can't put some ridiculous rules on the market that constrain every single new company. The reason they are listing is to try and get access to more capital to develop their products and expand their client base. Does the govt think that every rich private investor is going to stump up the cash to back these little, high risk companies that are trying to grow? Its average joe investor who helps fund these, so if they cut off our access, they are cutting off many new businesses chance to raise cash.

A better thing would be to get businesses to justify some of the high market caps they put on themselves straight away. And an even better thing would be to see brand new small companies stop pissing away funds giving themselves hefty pay checks and nice offices before they have even turned the smallest of profits. I would rather see better accountability than strangling the market but that's another matter