Following engagement with ASIC, Bitcoin Group makes the following corrective statements set out in this notice.
Printed Press and Electronic Media Corrective Statements
Statements were made in the Sydney Morning Herald (SMH) on 8 September 2015 which specifically referred to projected revenue forecasts for the Company based upon a range of Bitcoin values for the 2015-2016 financial year.
The projected revenue forecasts in that article were apparently picked up by other press and electronic media and republished.
In fact, the Replacement Prospectus makes no forecasts for projected revenue of the Company and the Company urges any person who read the articles to disregard revenue forecasts appearing in the press or electronic media for the purposes of their decision whether to invest in the IPO.
The projected revenue forecasts in the SMH article had no reasonable basis to be made.
Investors should make their decision to invest in the IPO on the information appearing in the Replacement Prospectus and have regard to this Notice.
Bitcoin Mining Profitability and Audited Accounts: Misstatement
On 2 October 2015, Bitcoin Group Ltd published on Wechat an article entitled “Is Bitcoin Mining really profitable?”.
Although the publication referred to the Replacement Prospectus as the source of all information relevant to the Bitcoin Group IPO, it also made statements about:
- the Company’s profitability, which were potentially misleading and based on calculations contained in a draft Prospectus not lodged with ASIC or available to the public;
- provided profit calculations and operating cost estimates which did not reflect the profit and costs details contained in the Replacement Prospectus;
- made reference to auditing costs, when in fact the accounts of the Company in the Replacement Prospectus are not audited accounts.
Bitcoin Group retracts all those statements made concerning profitability, auditing and costs in its publication on 2 October 2015, for which there was no reasonable basis.
Clarification on Mr Turnbull’s involvement in Bitcoin Group IPO shares
On 7 October 2015, Bitcoin Group Limited published on WeChat an article relating to the involvement of Mr Malcolm Turnbull (Australia’s Prime Minister) in the bidding for shares in the Bitcoin IPO in Sydney on 7 October 2015.
Mr Turnbull used the newly launched app of On-Market Bookbuild (an online platform which allows retail investors to make live bids for companies raising equity) for demonstration purposes, to bid for shares in the Bitcoin Group IPO on behalf of Mr Ben Bucknell. He did not personally buy or bid for shares in the Bitcoin Group IPO.
Bitcoin Group retracts any suggestion that Mr Turnbull personally invested in the Bitcoin Group IPO.
Bitcoin Group wishes to ensure that actual or prospective investors do not make their investment decision in reliance on any materials or information not contained in the Replacement Prospectus.
If you have not yet subscribed for shares in the Bitcoin Group IPO, please review the Replacement Prospectus and have regard to this Notice.
If you have subscribed for shares in the Bitcoin Group IPO and you wish to reconsider your investment in the Bitcoin Group IPO, Bitcoin Group is willing to allow you to withdraw your subscription and receive a refund of your subscription monies.
The initial closing date for the Bitcoin Group IPO was 30 October 2015. In order to allow a sufficient time for all actual and prospective investors to consider their position, Bitcoin Group has resolved to extend the IPO offer period for a further 14 days, to 13 November 2015.
If you wish to withdraw, you must withdraw in writing by 5 p.m. on 13 November 2015. To do this, please contact Mr Allan Guo on +61 (0)433 348 106 or by email at email@example.com.
On 23 October 2015, Bitcoin Group Limited proposes to lodge a Supplementary Prospectus extending the closing date of the IPO to 5 p.m. on 13 November 2015 and prospective investors should have regard to the Replacement Prospectus, this notice and that Supplementary Prospectus before investing in the Bitcoin Group IPO.
Dated: 21 October 2015