The directors only require notice if they become or cease to...

The directors only require notice if they become or cease to become a substantial holder. If a shareholder or their associates hold 5% or more of the company shares, he or she is considered a substantial holder.

Notification ObligationsTherefore, under sec. 671B, any shareholder who acquires (alone or with associates)a relevant interest in 5% or more of a company’s shares must disclose that fact bylodging an ASIC Form 603 “Notice of Initial Substantial Shareholder” with theCompany and disallowed. This lodgement requirement also extends to ashareholder making a takeover bid even if the initial holding is below 5%. Page 2 of 2Furthermore, for each 1% (or more) change in holding a Form 604 “Notice of Changeof Interests of Substantial Shareholder” must be lodged. And, if the holding fallsbelow 5% a Form 605 “Notice of Ceasing to be a Substantial Shareholder” must belodged.These Forms must be lodged within 2 business days after they become aware of thetransaction or change in % holding and by 9:30am next stock exchange trading dayin a takeover situation.If there are a number of Substantial Shareholders with similar or related relevantinterests (eg. a corporation and its related corporations, or the manager and trusteeof an equity trust), the names can be included in an annexure to the Form. If therelevant interests of a group of persons are essentially similar, they may be referredto throughout the Form as a specifically named group if the membership of eachgroup, with the names and addresses of members is clearly set out in the Form.