ASIC extends time for AGMs

As of today, ASIC have formally extended the time public companies have to hold their annual general meetings.

Under the ASIC Corporations (Extension of Time to Hold AGMs) Instrument 2021/770:

• All public companies with balance dates between 21 February 2021 and 7 July 2021 have an additional two months to hold their AGM; and
• Public companies limited by guarantee with balance dates between 24 January 2021 and 7 April 2021 have an additional four months to hold their AGM.

This legislative instrument formalises the ‘no action’ position ASIC previously adopted, giving companies with balance dates up to 7 July 2021 an additional two months to hold AGMs.

This extension is in addition to measures recently passed by parliament in Treasury Laws Amendment (2021 Measures No. 1) Act 2021 to permit the convening and holding of meetings using technology until 31 March 2022.

ASIC have granted this extension to allow flexibility for companies preparing for the upcoming AGM season while restrictions on gathering and movement persist during the COVID-19 pandemic.

Directors of eligible companies must ensure they are complying with their directors’ duties when deciding whether it is appropriate to rely on ASIC’s relief.

This article provides general commentary only. It is not legal advice. Before acting on the basis of any material contained in this article, seek professional advice.