"1.2 Purpose The purpose of the Offers is not to raise funds. Instead, its purpose is to remove trading restrictions on Shares and Listed Options issued without disclosure under Part 6D of the Corporations Act before the Closing Date.
Generally, section 707(3) of the Corporations Act requires that a prospectus is issued in order for a person to whom securities were issued without disclosure under Part 6D of the Corporations Act to offer those securities for sale within 12 months of their issue. The Corporations Act provides an exception to section 707(3) where an entity issues a ‘cleansing’ notice under section 708A(5). The Company has been suspended from trading on the ASX for more than 5 days in the last 12 months and, as a result, is precluded from issuing a cleansing notice in accordance with section 708A(5) of the Corporations Act. However, section 708A(11)(b) of the Corporations Act provides that a sale offer does not need disclosure to investors if: (a) the relevant securities are in a class of securities of the company that are already quoted on the ASX; (b) a prospectus is lodged with ASIC either: (i) on or after the day on which the relevant securities were issued; or (ii) before the day on which the relevant securities are issued and offer of securities that have been made under the prospectus are still open for acceptance on the day on which the relevant securities were issued; and (c) the prospectus is for an offer of securities issued by the company that are in the same class of securities as the relevant securities."
CRO Price at posting:
6.2¢ Sentiment: Sell Disclosure: Not Held
