Step 1

Prepare a disclosure document. This is to be approved by the Board, making sure all the information is correct and not misleading. A disclosure document should contain the facts that an investor needs to make an informed investment decision.

Disclosure documents are very important as they contain information to help you assess the benefits, risks, rights and obligations associated with a warrant, and the issuer's capacity to fulfil its obligations.

In the disclosure document you can expect to find information on:

• the rights and obligations of both issuer and holder • the underlying instrument • fees and charges • how to subscribe for the warrant in the primary market • the reporting and documentation you can expect from the issuer • exercise procedures • any other information an investor would reasonably require in making an informed decision.

There are two types of disclosures for shares and bonds:

• The preliminary document is the first offering document provided by a securities issuer and includes most of the details of the business and transaction in question. • The final document is printed after the deal has been made effective and can be offered for sale. • It contains finalized background information including such details as the exact number of shares/certificates issued and the precise offering price.

Disclosure documents are generally prepared with the assistance of the underwriter acting as issue manager (also called a bookrunning manager or "bookrunner").

• Underwriting refers to the process that a large financial service provider (bank, insurer, investment house) uses to assess the eligibility of a customer to receive their products (equity capital, insurance, mortgage, or credit).

You must also obtain consent by the directors to the document.

Step 2

ASIC(Australian Securities and Investment Commission) lodging disclosure documents.

• An ‘exposure period’ of seven days starts from the date of lodgement. During this time the prospectus is made available for public review and comment, and during this period the company cannot accept any applications under the offer. ASIC can extend the exposure period to up to fourteen days after lodgement if it needs time to review the prospectus in detail.

• Applications from investors can be processed after the end of the exposure period. After this period, ASIC has the power to issue an interim and/or final order to stop the offer if ASIC has concerns about the disclosure in the prospectus.

• You must lodge your disclosure document with ASIC before it can be used to raise funds.

• When you have completed the preparation of an offer document: use OFFER list Entry to record summary information about your offer for display on OFFER list . This summary information will be stored and not published on OFFER list until the disclosure document has been physically lodged with ASIC.

Lodge a prospectus from 1 July 2014 will cost $2290 for a company under Australian Securities & Investments Commission.