Document ID: chunk:federal_register_of_legislation:C2007A00079:clause:7_5
Version: federal_register_of_legislation:C2007A00079
Segment Type: clause
Provision Reference: sch 7 cl 5
Character Range: 39616–40828

5  After subsection 128F(5)
Insert:

 (5AA) An invitation to become a lender under a syndicated loan facility is taken never to have satisfied the public offer test if, at the time the invitation is made, the company knew, or had reasonable grounds to suspect, that:
 (a) an associate of the company is or will become a lender under the facility; and
 (b) either:
 (i) the associate is a non‑resident and the associate is not or would not become a lender under the facility in carrying on a business in Australia at or through a permanent establishment of the associate in Australia; or
 (ii) the associate is a resident of Australia and the associate is or would become a lender under the facility in carrying on a business in a country outside Australia at or through a permanent establishment of the associate in that country; and
 (c) the associate is not or would not become a lender under the facility in the capacity of:
 (i) a dealer, manager or underwriter in relation to the invitation; or
 (ii) a clearing house, custodian, funds manager or responsible entity of a registered scheme.

Note: The heading to subsection 128F(5) is altered by omitting "Issues" and substituting "Issues and invitations".