ASIC Digs Deeper into Mining IPOs: New Recommendations for Directors and Lead Managers

After recently conducting an investigation into the conduct of Initial Public Offerings (IPO) in the mining and exploration industry, ASIC has found there to be widespread instances of misconduct, substandard compliance controls and poorly managed conflicts of interest. Directors, lead managers and advisers alike have come into the firing line, with ASIC expressing concern over the harm that this conduct is causing, particularly to retail investors.

In response, ASIC has announced that it will be monitoring all companies conducting an IPO, not just those in the mining and exploration industry, to ensure that the recommendations set out in ASIC’s recently released Report 641 "An inside look at mining and exploration initial public offers" are being implemented.

Click here for the full article summarising ASIC’s findings and recommendations.

Contact Tom Morgan if you require further advice in relation to any IPO or other capital raising that you are considering.