ASIC Introduces 2-Year Fast-Track IPO Trial to Boost Market Appeal

1

The tailored fast-track approach emerged from discussions on the evolving dynamics of public and private markets. ASIC Chair, Joe Longo, emphasised the trial's design to enhance the speed of listings and maintain the vitality of the public market. Through this new process, ASIC will conduct an informal review of eligible offer documents two weeks prior to public filing, potentially shortening the IPO timeline by up to a week.

This innovation means that ASIC will communicate directly with issuers before the traditional public exposure period. Such engagement reduces the need for additional documents and helps mitigate the risk of market volatility impacting investor interest due to prolonged timelines. Notably, the trial includes a 'no action' stance, allowing eligible companies to start accepting retail investor applications during the exposure period, which simplifies the overall administrative process.

Joe Longo highlighted that crafting a streamlined IPO process reaffirms ASIC's commitment to keeping the public market appealing to both companies and investors. He noted that enhancing deal certainty is expected to foster more IPOs, presenting increased investment opportunities, promoting business growth, and boosting job creation.

Longo further acknowledged that current IPO activity is at its lowest in over a decade, while Australian secondary capital raising techniques are globally esteemed for their efficiency. Earlier this year, ASIC expressed concerns about the public market's future and sought actionable ideas to ensure its ongoing attractiveness and efficiency. Longo expressed satisfaction with the prompt industry collaboration and the proactive steps taken in response to these concerns.

Even with the expedited process, ASIC assured that the ability to raise concerns during the exposure period remains intact. Shares will only be issued and quoted after this period concludes. Longo reiterated that while regulatory adjustments are not a singular solution, they represent a key component of supporting a robust market environment. Additional regulatory considerations are underway to ensure a well-functioning sound market.

Published:Wednesday, 11th Jun 2025
Source: Paige Estritori

Share this news item:

Finance News

Clear

US Involvement in Israel-Iran Conflict Sparks Financial Market Concerns 23 Jun 2025: Paige Estritori The escalating likelihood of the United States engaging militarily in the Israel-Iran conflict has raised alarm among investors, potentially leading to significant market volatility. This concern was highlighted by the global financial advisory firm, deVere Group, as tensions heighten in the Middle East. - read more

Global Markets Brace for Oil Price Surge Following US Strike on Iran 23 Jun 2025: Paige Estritori The recent US military attack on Iranian nuclear facilities has raised expectations of a significant oil price spike as global markets prepare to resume trading. Announced by former President Donald Trump, the attack marks an increased US involvement in the Middle East, which analysts believe could lead to heightened volatility across financial markets. - read more

Trump Mulls Change of Heart on Firing Fed Chair Powell 21 Jun 2025: Paige Estritori US President Donald Trump is once again contemplating the dismissal of Federal Reserve Chair Jerome Powell, whom he has criticized for not lowering interest rates. Trump expressed his dissatisfaction with Powell's decisions in a Truth Social post, suggesting he might change his mind about firing him. Despite acknowledging that his strong criticisms make Powell's task challenging, Trump remains focused on his agenda for reduced rates, especially with Powell's term set to end in May 2026. - read more