Document ID: chunk:federal_register_of_legislation:C2010C00612:clause:3_4:p4
Version: federal_register_of_legislation:C2010C00612
Segment Type: clause
Provision Reference: sch 3 cl 4 (pt 4/4)
Character Range: 86915–87642

voting and dividend rights, and the original shares have none.

 Value has been shifted out of the original shares, effectively converting "old equity" to "new equity".

 (3) In deciding whether it is reasonable to reach the conclusion referred to in paragraph (2)(b), these matters are relevant:
 (a) whether the amount of the decrease in the *net value of the *resident investment vehicle because of the happening of the event referred to in paragraph (2)(a) is the same as, or is calculated by reference to, the value of the issue or allotment of *shares or interests to the *venture capital entity; and
 (b) the time lapse between the happening of that event and that issue or allotment.

Pooled Development Funds Act 1992