GetSwift calls in PwC as disclosure issue continues


PricewaterhouseCoopers to aid logistics software firm on ASX compliance task

GetSwift calls in PwC as disclosure issue continues
Joel Macdonald's company is working to sort out its announcements

 

GetSwift hopes the expertise of major business services and accountancy firm PricewaterhouseCoopers (PwC) will allow it to resume trading on the Australian Securities Exchange (ASX).

Recent business media reports on possible contract withdrawals affecting the logistics software company preceded a share trading suspension last week as the ASX looked into possible continuous disclosure rule shortcomings.

Now, GetSwift, which has a stock market listing code of GSW, has engaged PwC "to review the company’s continuous disclosure compliance.

"As part of that engagement, PwC will also assist the company in its preparation of a more comprehensive market update, which will address questions raised by ASX in its correspondence with the company as well as other commentary in the market.

"The company will be issued its Appendix 4C (quarterly report) on Wednesday of this week with the market update to follow by the end of the week."

It has also sought a continuation of its suspension from trading.

A week ago, GetSwift, which garnered significant media interest due in part to the involvement of former Melbourne Football Club player Joel Macdonald as MD, issued a rejection of claims made in the Australia Financial Review (AFR) that it had failed to report material information to the market.

It also aimed to explain how its business model works.

The company notes that typically "a 90-day Proof of Concept (POC) is granted and the client then moves to a standard contract" and that because it revenue "is generated from low, pay as you use transaction based fees . . . this means that clients that no longer wish to use the platform simply cease using it".

But one of the central issues relates to the announcement of fresh produce deliver firm The Fruit Box Group coming on board that was followed by silence when it and withdrew.

In response to ASX questions, GetSwift said it considers the addition of The Fruit Box Group "could potentially have had a material effect" on its share price but not the opting out of it and others.

The AFR report also named other firms in a similar position.

 

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