Unfortunately I must report that progress on the issue of the SEC restriction on US residents buying the shares of US companies listed on ASX has been slow. Due to the potentially enormous legal costs and significant management time that would need to be invested, Axon has decided to allow ASX to progress this matter. Clearly ASX has a vested general interest in having this issue resolved and can negotiate at a more appropriate level with the SEC than Axon.
I think the best way to describe the state of play is to quote from our attorney who is liasing with the Australian Stock Exchange in this regard : "ASX has advised that the SEC has responded to their request and that they "are not opposed " . However they apparently don't understand some of the detail of how it would work and the ASX's attorney is liasing directly with the SEC in the US on this.......so , it is positive news ( and regarded as such by ASX ) but proceeding slowly."
And in more recent correspondence : "The SEC is still causing delays in resolving the Problem ( the non Axon specific solution that has the SEC issuing a general no action letter that deals with this problem)."
The result is that we cannot be certain when the SEC restriction will be lifted. However, we continue to liaise with ASX and encourage them in their dealings with the US SEC.
