© Reuters. FILE PHOTO: The logo of software company Nuix can be seen in their office located in central Sydney, Australia, April 5, 2016. REUTERS/David Gray/File Photo

(Reuters) -Software provider Nuix said on Wednesday some financial statements and a prospectus for its initial public offering were being investigated by an Australian regulator for potentially breaching corporate law, sending its shares down 15%.

Nuix said the Australian Securities and Investments Commission (ASIC) was looking into financial disclosures for the period between end-2018 and 2020, and is investigating its former chief financial officer Stephen Doyle and two of his family members.

“We are genuinely disturbed by the allegations concerning Doyle,” Chairman Jeffrey Bleich said in a statement, without providing any details on the allegations.

Doyle did not immediately respond to messages sent on LinkedIn.

Nuix said it was not aware of the precise nature of the probe and had not received any formal notification from ASIC, adding that it would cooperate with any investigation.

The stock, which has plummeted more than 70% since listing late last year and hit successive record lows on earnings downgrades and criticism of its financial accounts, dropped to a fresh all-time low on Wednesday.

The probe comes on the heels of news earlier this month that two of Nuix’s top bosses would leave the company https://www.reuters.com/technology/top-bosses-australias-nuix-exit-amid-share-price-plunge-outlook-cuts-2021-06-15, including Doyle whose contract with Nuix was terminated by mutual agreement. CEO Rod Vawdrey is set to retire.

“ASIC obtained ex-parte travel restraints on June 23, 2021 for the purpose of ensuring that Ross Doyle remains within the jurisdiction to assist with ASIC’s investigation,” the regulator said, referring to the former CFO’s brother.

“These orders were extended by the Federal Court yesterday until October 25, 2021. As ASIC’s investigations are ongoing, we do not propose to comment further,” the regulator added.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here