The aim of prospectus is to provide with all the information that investors and their professional advisers would reasonably require to make an informed assessment to the rights and liabilities attaching to the security offered and the assets and liabilities, financial position and performance, profit and loss and prospects of the issuer. In the Corporation Act 2001, section 710 has laid out the content requirements for prospectuses and the section 715A has expressed the word and presentation requirement for prospectuses. The company’s prospectus that is analyzed under this circumstance is the prospectus of Virgin Australia, formerly called Virgin Blue.
Firstly, according to section 710 of the Corporation Act 2001 subsection 2 , the prospectus is required to include the matters that likely investors may reasonably be expected to …show more content…
Virgin Australia has disclosed a letter to the investors regarding to the description of the business and its structure, strategy and plans. Virgin’s letter has described its area of operation and market share, furthermore, Virgin Australia has also disclosed its low cost structure as its business structure and strategy. Moreover, Virgin Australia has also disclosed its business plan, alleging that Virgin Australia is planning to continue to grow by increasing frequencies on the routes it already services, launching services on secondary business route, adding regional leisure routes and etc. Moreover, section 710 of the Corporation Act 2001 also request the prospectus of the company to include relevant financial data. Investors and their professional advisers often need key financial information to assess the prospectus in order to make investment decisions. In this case Virgin Australia has made a disclosure to both of their key financial and non-financial figure to prospective
Firstly, according to section 710 of the Corporation Act 2001 subsection 2 , the prospectus is required to include the matters that likely investors may reasonably be expected to …show more content…
Virgin Australia has disclosed a letter to the investors regarding to the description of the business and its structure, strategy and plans. Virgin’s letter has described its area of operation and market share, furthermore, Virgin Australia has also disclosed its low cost structure as its business structure and strategy. Moreover, Virgin Australia has also disclosed its business plan, alleging that Virgin Australia is planning to continue to grow by increasing frequencies on the routes it already services, launching services on secondary business route, adding regional leisure routes and etc. Moreover, section 710 of the Corporation Act 2001 also request the prospectus of the company to include relevant financial data. Investors and their professional advisers often need key financial information to assess the prospectus in order to make investment decisions. In this case Virgin Australia has made a disclosure to both of their key financial and non-financial figure to prospective