Originally posted by MeToo
Back to rastes’ original question “and the primary purpose of this cleansing prospectis is?”
The cleansing prospectus applies to Shares issued without disclosure, which have an automatic escrow period of xxx. The shares cannot be sold and are restricted from trading.
A cleansing prospectus is issued to remove the automatic escrow period from these shares and therefore allows them to be sold. It Applies to undisclosed shares issued prior to the closing date of the prospectus. It’s meant to prove that all information that was supplied to whoever purchased / received the shares has been supplied to the market in general!
If the company had not been suspended for over 5 days they could have issued a “Cleansing Notice” Because they were suspended for >5 days they must issue a “cleansing prospectus” to remove the automatic trading restrictions!
If you read the following quote from the cleansing prospectus, you might understand?
FROM the cleansing prospectus....
“To ensure shares issued are freely tradeable (i.e. not subject to secondary trading restrictions in the Corporations Act) the Company is obliged to issue a cleansing notice under section 708A(5) of the Corporations Act (Cleansing Notice), or issuing a prospectus under section 708A(11) of the Corporations Act.
The Company is unable to issue a Cleansing Notice as its shares were suspended from trading on ASX for more than five (5) trading days over the last 12 months. Accordingly, the primary purpose of the prospectus is to facilitate secondary trading of any shares that may be issued by the Company before the closing date under the prospectus.”
you are so wrong its not funny, as I said after you read APKJMs post and the announcement I would tell you why I am 103% certain, ok, I rang Jason Brewer and put the question to him, he said that the announcement of the 21/08/2018 stood, the announcement of the cleansing prospectus did NOT alter this in any way, shape or form, if you still feel it is not correct then please take the time to contact the company as I did, to verify this, I was also concerned that they could be traded, however they cannot, or you can sit here and type away to your hearts content and discuss this with posters who dont have the correct information, the shares they are referring to are the 10,000 being sold at .05 cents
