The Securities Act (Short Form Prospectus) Exemption Notice 2009
(2009 Notice), which replaces the Securities Act
(Short Form Prospectus) Exemption Notice 2002 (2002
Notice), came into force on Monday. The 2009 Notice
retains the existing exemptions in the 2002 Notice, and adds new
exemptions that have the effect of reducing securities law
compliance for companies that are eligible to use a short form
prospectus when issuing securities to their existing security
holders.
Under the Securities Regulations 1983 (Regulations), it is
recognised that a reduced level of information (in the form of a
short form prospectus) is appropriate if a company offers equity,
convertible or certain types of debt securities to existing
investors (as those investors would generally be familiar with the
company). Regulation 4 of the Regulations allows this reduced level
of information on the basis that recent financial information has
been provided to those security holders.
