Document ID: chunk:federal_register_of_legislation:C2008C00460:clause:1_708aa:p1
Version: federal_register_of_legislation:C2008C00460
Segment Type: clause
Provision Reference: sch 1 cl 708AA (pt 1/3)
Character Range: 35314–37916

708AA  Rights issues that do not need disclosure

 (1) This section applies to an offer of a body's securities (the relevant securities) for issue if:
 (a) but for subsection (2), disclosure to investors under this Part would be required by section 706; and
 (b) a determination under subsection (3) is not in force in relation to the body at the time when the relevant securities are offered.

Conditions required for rights issue

 (2) The offer does not need disclosure to investors under this Part if:
 (a) the relevant securities are being offered under a rights issue; and
 (b) the class of the relevant securities are quoted securities at the time at which the offer is made; and
 (c) trading in that class of securities on a prescribed financial market on which they are quoted was not suspended for more than a total of 5 days during the shorter of the following periods:
 (i) the period during which the class of securities is quoted;
 (ii) the period of 12 months before the day on which the offer is made; and
 (d) no exemption under section 111AS or 111AT covered the body, or any person as director or auditor of the body, at any time during the relevant period referred to in paragraph (c); and
 (e) no order under section 340 or 341 covered the body, or any person as director or auditor of the body, at any time during the relevant period referred to in paragraph (c); and
 (f) the body gives the relevant market operator for the body a notice that complies with subsection (7) within the 24 hour period before the offer is made.

Determination by ASIC

 (3) ASIC may make a determination under this subsection if ASIC is satisfied that in the previous 12 months the body contravened any of the following provisions:
 (a) subsection 283AA(1), 283AB(1) or 283AC(1);
 (b) the provisions of Chapter 2M as they apply to the body;
 (c) section 674 or 675;
 (d) section 724 or 728;
 (e) subsection (10) of this section;
 (f) section 1308 as that section applies to a notice under subsection (2) of this section.

 (4) The determination must be made in writing and a copy must be published in the Gazette as soon as practicable after the determination is made.

 (5) The determination made under subsection (3) is not a legislative instrument.

 (6) A failure to publish a copy of the determination does not affect the validity of the determination.

Requirements for notice

 (7) A notice complies with this subsection if the notice:
 (a) states that the body will offer the relevant securities for issue without disclosure to investors under this Part; and
 (b) states that the notice is