FMA orders Share Buyers Limited to include warning

NZPA

Monday 15th August 2011

The Financial Markets Authority (FMA) has today ordered Share Buyers Limited (Share Buyers) and associated persons to include a warning from FMA in a prominent position at the beginning of any document making an unsolicited offer to buy shares or other securities.

The order requires that:

• any offer document containing an unsolicited offer from Share Buyers or any associated persons must contain, at the beginning of that offer document, a warning statement in the form attached to the order

• the warning statement must be printed in a particular font size, colour and layout

• Share Buyers must provide a copy of the order to their associated persons.

FMA Chief Executive Sean Hughes said that FMA wants any investor who receives an unsolicited offer to buy their shares to have all the information they need to make a sound decision.

"This order is intended to ensure that investors who receive an offer from Share Buyers to buy their shares or other securities will have the information they need to decide if that offer is in their best financial interests," Hughes said.

"Investors are warned to treat any such offer with caution and to seek advice from an Authorised Financial Adviser, Community Law Centre or Citizens Advice Bureau."

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