ASIC has made a new legislative instrument to replace Class Order [CO 02/225] Rights issue notifications, which was due to expire (‘sunset’) on 1 April 2017.
The new legislative instrument is ASIC Corporations (Renounceable Rights Issue Notifications) Instrument 2016/993. The instrument has substantially the same effect as [CO 02/225]. It provides relief from certain sections of Chapter 6D and Part 7.9 of the Corporations Act 2001 to facilitate the renunciation and transfer of rights issued under a renounceable rights offer.
ASIC has also repealed Class Order [CO 00/231] Money market deposits, which was due to sunset on 1 April 2017.
Class Order [CO 00/231] was repealed as the relief provided by the class order is no longer necessary in light of other provisions of the Corporations Act 2001 and any residual need for relief is more appropriately given on a case by case basis by application.
ASIC consulted on its proposal to continue the relief in [CO 02/225] without substantive changes and to repeal [CO 00/231] in Consultation Paper 261 Remaking and repealing ASIC class orders on rights issue notifications and money market deposits (CP 261), released 15 June 2016. Comments closed on 15 July 2016 (refer: 16-193MR).
For the complete ASIC announcement, click here.