The new instrument, ASIC Corporations (Share and Interest Purchase Plans) Instrument 2019/547, provides ASX-listed issuers of shares and interests under purchase plans with relief from the requirement to prepare a prospectus or product disclosure statement if certain conditions are met, ASIC said in a statement.
It said the new instrument will continue the effect of the previous instrument while increasing the participation limit (for each registered holder in a 12-month period) from $15,000 to $30,000.
“We consider that the increase in the purchase plan limit will help ‘mum and dad’ investors participate in discounted fundraisings, and further supports the efficient functioning of capital markets,” said ASIC commissioner John Price.
ASIC said the relief was remade following a public consultation as set out in its Consultation Paper 304 Remaking ASIC class order on share and interest purchase plans: [CO 09/425] (CP 304).
The corporate regulator received three non-confidential submissions in response to CP 304 during the consultation period, with the consideration of the submissions detailed in Report 629 Response to submissions on CP 304 Remaking ASIC class order on share and interest purchase plans: [CO 09/425] (REP 629).