Class action under investigation!, page-3

SQUIRE
PATTON BOGGS

Notice of Investigation – Potential Class Action
GetSwift Ltd (ASX:GSW)
SYDNEY: 2 February: GetSwift is a “SaaS” (or software as a service) company that provides “last mile” software to enable for example the efficient & timely delivery of pizzas and the tracking of deliveries by the vendor/provider. It is said to “streamline delivery and logistics channels for businesses”.

It listed on 9 December 2016, having raised AU$5 million in a prospectus dated 26 October 2016 at 0.20c per share.

GSW’s share price has climbed steeply since to give a market capitalisation of approximately $535 million. This increase coincided with a series of announcements regarding contractual arrangements said to have been reached with key service providers.

GSW raised AU$75 million in a placement in December 2017 at $4.00 per share.

The Australian Financial Review expressed doubts regarding the veracity of announcements made to the market on 20-21 January 2018. It reported that clients with whom “exclusive” multi-year contracts were asserted – Fruit Box (27/2/17 announcement), Betta Home Living & Fantastic Furniture (23/8/17) – acknowledge trialing the software, but deny continuing use of it (in the case of Fruit Box and Fantastic
Furniture) and also reported they stated that they discarded it after trial. GSW admits Fruit Box terminated but says it was not material. GSW says the Betta Home Living contract remains in effect and that there is confusion over whether Fantastic Furniture terminated or not.

GSW shares are currently suspended, having fallen from a high of more than AU$4.00 to AU$2.90 presuspension by the Australian Stock Exchange. They are trading at AU$1.61 equivalent on the OTC or over-the-counter market in the United States of America.

Companies are required to have a factual basis for their announcements. They are also obliged by the continuous disclosure provisions of the Corporations Act to update the market should any information that is not generally available become known to the company, which a reasonable person would expect to have a material impact on the price of the shares.

Shareholders that purchased GSW shares between 24 February 2017 and 19 January 2018 can now register their interest in the proposed class action by emailing [email protected]. Funding has been obtained. A funding pack is also available on request via the email address.