Safe Harbour Disclosure and ASX

Safe Harbour Disclosure

Geoff Green is a Chartered Accountant, workout banker, Chair of the ARITA -Vic/Tas Committee, and a member of the ARITA National board in Melbourne, Australia.

On his blog, Australian Loan Restructuring Issues, Geoff discusses Safe Harbour disclosure and taken the implications. The ASX has taken practical steps towards making ‘Safe Harbour‘ available to public companies….

‘Secret Harbour’

Must a listed company disclose that it has taken steps to ‘enter’ the Safe Harbour regime?

Doing so would almost certainly result in the withdrawal of trade credit facilities and thereby cause a liquidity crisis.  But the ASX listing rules impose a quite rigorous continuous disclosure regime, requiring disclosure regardless of the damage it may cause to a business.

The update to Guidance Note 8 Continuous Disclosure: Listing Rules 3.1 – 3.1B released this month and available here directly addresses the question, providing very helpful guidance.

To read more, click here to visit the full article…..