FAQs Sellers
Information for people interested in selling their shares
An interested seller should obtain the Notice of Intention to Sell form to give the Company Secretary written notice of their intention to sell MCFS shares together with the number of shares they wish to sell and the asking price for those shares and request that those particulars and their personal contact details be entered in to the register of sellers. On receipt of such request, the Company Secretary will update the register of sellers. Each prospective seller's notice will expressly authorise MCFS to provide the seller's personal contact and other relevant details to registered buyers.
Frequently Asked Questions (for sellers)
Q: Can I sell my MCFS shares through the Low Volume Market?
A: Any MCFS shareholder may register their interest to sell their shares in MCFS through the MCFS Low Volume Market. However, it is a condition of the Australian Securities and Investments Commission's (ASIC) approval of the Low Volume Market that no more than 100 (one hundred) transactions occur through the market during any 12 month period.
Q: Can I sell all of my shares in MCFS through the Low Volume Market?
Generally speaking, there is no limit to how many shares you can sell to a registered buyer through the MCFS Low Volume Market. However, it is a condition of ASIC's approval of the MCFS Low Volume Market that the aggregate sale price of transactions that occur through the market during any 12 month period does not exceed AUD$500,000 (five hundred thousand dollars).
Q: What happens if the number or volume of transactions may exceed the threshold?
MCFS continually monitors the number and value of transactions through the market and will not register new sellers or provide details of registered sellers to buyers if more than 100 transactions or transactions with an aggregate value exceeding $500,000 may occur through the market in any 12 month period. MCFS will not permit any such transaction to occur and may suspend the market until the limits are refreshed. In either case above, you may either wait for the next 12 month period to commence or, alternatively, find another buyer outside of the Low Volume Market.
Q: How do I register my interest to sell my MCFS shares?
A: You can register your interest to sell your MCFS shares by completing a 'Notice of Intention to Sell' with your details, including the number of shares that you wish to sell and the asking price for those shares, and forwarding the notice to:
The Company Secretary
Mundaring Community Financial Services Ltd
PO Box 3443
MIDLAND WA 6056
Facsimile: +61 8 9274 6855
Important: Please ensure that you read the acknowledgements in that notice before signing it. Your details will then be entered into the register of sellers.
Q: Can MCFS assist me with the negotiation and execution of the sale of my shares through the Low Volume Market?
A: No, the Company Secretary will endeavour to match your registered interest to sell with registered buyers on a 'first in, first out' basis. If you are matched with one or more registered buyers through the low volume market, your details, including the number of shares for sale and asking price, together with your contact information will be provided to each matched buyer. It is up to the buyer to contact you to negotiate the purchase of your shares. It is then your responsibility to negotiate and complete any resulting transaction with the buyer. MCFS will have no further involvement.
Q: What price should I sell my shares for?
A: The price you ask for your MCFS shares will depend on your particular circumstances, including your purchase price and how quickly you require a sale. The price will be negotiated between you and the buyer. MCFS cannot provide you with any assistance to determine or negotiate that price.
Q: Can MCFS provide information on previous share sales?
A: MCFS maintain a Register of Buyers and Sellers where information is available regarding sale dates and prices achieved through the Low Volume Market.
Q: What information can I get to assist me to determine the price of MCFS shares?
MCFS is required to lodge financial information, such as Half-yearly and Annual Financial Reports, with ASIC and the information in these reports may assist you to determine the appropriate price for your shares. MCFS latest Annual Report is available here.
Q: How do I complete any sale of my MCFS shares?
A: It is your (and the buyer's) responsibility to arrange for payment for the shares and to complete a share transfer form. You can access a template share transfer form. Once you have negotiated a transaction, you and the buyer must complete and sign the share transfer form which must be sent together with your original share certificate to the share registry at:
Ms Allison I'Dell Mundaring Community Financial Services Ltd PO Box 3443 MIDLAND WA 6056
Q: Who is responsible for preparing the share transfer documents?
A: You and the buyer are responsible for preparing the share transfer documents. You can access a template share transfer form together with guidance notes on how to complete it here.
Q: Is stamp duty payable on any share sale?
A: No. Transfers of shares in companies that are registered in Western Australia are not currently subject to stamp duty. As MCFS is registered in Western Australia, there will not be any stamp duty on any MCFS shares sold.
Q: What are the potential tax consequences if I sell my MCFS shares?
A: MCFS is unable to provide you with any advice in relation to the potential tax consequences of any sale as each shareholder's circumstances are different. You should obtain your own taxation, financial and investment advice in relation to the consequences of any sale before entering into any transaction to sell your MCFS shares.
Q: How will the purchase monies for my shares be dealt with?
The execution of transactions and the settlement of purchase monies must be arranged between you and the buyer. MCFS will not be involved in the settlement of purchase monies.
Q: Who can be registered as a seller on the MCFS register of sellers?
A; Any legal entity (individuals, companies etc) can be registered as a seller on the MCFS register of buyers.
Q: Who will my details be provided to and what is done to protect my personal information?
A: Once you are matched with a registered buyer, your contact and other details that you have provided will be given to that registered buyer. It is up to the registered buyer to contact you in relation to the negotiation and execution of any resulting transaction. The personal information that MCFS collects from you remains on the register of sellers. Disclosures to matched registered buyers will be dealt with in accordance with MCFS's Privacy Policy.
Q: What happens if a sale of shares doesn't proceed through the low volume market?
A: If, after being matched with a registered buyer, no transaction occurs, you can request that your details be re-listed on the register of sellers by completing and forwarding a new Notice of Intention to Sell to the Company Secretary.
Q: Can I find my own buyer for my MCFS shares outside of the low volume market?
Yes. The low volume market merely provides you with one way to potentially locate a buyer for your MCFS shares. You may find your own buyer for your shares outside of the market.