AVZ 0.00% 78.0¢ avz minerals limited

How disappointing to see all of you dumped in this situation by...

  1. 3,645 Posts.
    lightbulb Created with Sketch. 549
    How disappointing to see all of you dumped in this situation by the company and left to figure out what the hell is going on by asking for help from strangers on the internet. Its the job of the company secretary to explain this stuff to you guys, and this company have twice as many company secretaries as most other companies. God knows what they are doing. They could spent a single hour drafting a letter to you all and explaining all of this stuff to you in clear English. Its not that they wouldn't have known what confusion they were going to create by delisting or had insufficient time to prepare for it.

    Anyhow as the confusion continues let me offer you some help with an explanation as to why you receive those holding statements showing a zero balance and what it means. Excuse the detail but if I explain how the market works in the background at a high level then you will better understand what has actually happened and what these documents mean.

    Background info

    First thing to understand if that all shareholders accounts are recorded in the register of members. The register of members (otherwise simply known as The Register) is managed by an entity known as the share registry. AVZ pays Automic to be their share registry.

    Australia operates on a split register system, ie the register of members is made up of two sub-registers. One of the sub-registers is CHESS which contains accounts opened through a broker, ie like almost everybody here. These accounts are able to trade through the ASX trading engine and transactions can be settled through CHESS. You also get automatically generated holding statements anytime your account balance changes. For most here thats how you got your shares in AVZ.

    The second sub-register is the Issuer sub-register. CHESS knows nothing about these accounts so they can't trade using the trading engine etc. There are usually no automatic holding statements either. Its the no-thrills sub-register. Shareholders in unlisted companies have accounts on this sub-register. Some holders in listed companies do have account on this sub-register but that is outside the scope of what you need to know here and now.


    What changed

    When AVZ was delisted its shares could no longer be held in accounts on the CHESS sub-register. If you had an account on the CHESS sub-register the share registry went and created you a new account number on the Issuer sub-register and moved your shares from your original CHESS account number into the new Issuer account.

    As described above one of the benefits of the CHESS sub-register is that it automatically generates holding statements each month when there is some change on your CHESS account. The statements which you have received were generated by this process because the shares were moved out and your CHESS account now has a zero balance.

    Normally I would expect that you would receive a letter from the share registry describing what has happened and giving you your new account number and confirming your balance was moved to that account. This would not be the same as the CHESS holding statement since it would be generated by a different system. I'm assuming from the confusion here that this has not happened or that some didn't get them. The company secretary should have arranged for this to be done by the share registry.

    As described by others here you can login to the Share Registry and see your shares in your new account. A number of people have described how to do this so I won't replicate their good work.


    Summary

    Rest assured that your shares are on the Register as they have always been. They have just moved to a new account and that new account lives by different rules with less benefits. Unfortunately not getting any statements is one of those different rules. But as you will discover, when a company delists many of the things you take for granted no longer happen. This is just one.

    I honestly hope this helps.



    Last edited by GiddyYup: 13/06/24
 
watchlist Created with Sketch. Add AVZ (ASX) to my watchlist

Currently unlisted public company.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.