Just been sent to the ASX.
I really want to get to the bottom of why ASX requested "
A statement correcting the Company's previous disclosure that completion of the sale of the Assets was not subject to any conditions precedent and including in the Draft Shareholders Notice of Meeting the conditions precedent to completion contained in the Sale Agreements"
I would think this would have major repercussions for shareholders and noteholders alike that invested on the back of an announcement with no conditions precedent when in fact they were.
The other things that stand are the "
the circumstances surrounding Wade's acknowledgement that its right to terminate under the Sale Agreements" If Wade had a right to terminate, how the f was this not a material term to the announcement. Surely a reasonable person would have wanted to know this.
And the other big one was the fact that ASX has requested the following information which AZZ has yet to have disclosed. Again if they have not conducted this due diligence and made the announcement, this is huge
- Information about the financial standing of Wade, its ability to complete the purchase of the Assets and whether it had completed transactions of a similar nature previously
- The structure of the Wade, particularly it reliance on private equity financiers. Furthermore, why was the financing by Wade’s private equity financiers not stated as a condition precedent?
- the name of the private equity financiers of Wade;
- the financial capacity of Wade to complete the purchase of the Assets;
- the enquiries made by the Company into the financial capacity of Wade and an explanation of the confidence the Company had in Wade being able to complete the purchase of the Assets under the amended Sale Agreements;
- a summary of the material amendments to the Sale Agreements which included the omission of conditions precedents under the original Sale Agreements;
- the extent and purpose of the Company's continued engagement with Wade
And to think we are paying this management team their salary on top of all this...
I am fuming that I invested in the absence of what should have been standard due diligence...If not then the market should have been advised.
