The Australian Securities and Investments Commission (ASIC) has signalled its intention to overhaul 18 regulatory instruments that currently grant relief from various provisions of the Corporations Act 2001, with particular focus on takeover proceedings, capital raising transactions, and financial product distribution. The proposal comes as the Asia-Pacific region’s investment environment experiences shifting conditions that may influence how these regulatory frameworks operate.
Research from GlobalData reveals that deal volume across the APAC region – encompassing M&A, private equity, and venture financing – contracted marginally during the first nine months of 2025, declining approximately 1% relative to the comparable 2024 period. Within this overall decline, M&A transactions demonstrated relative strength, with strategic acquisition activity expanding by roughly 2% year-on-year through the first three quarters of 2025, reflecting company focus on market consolidation and competitive positioning. Conversely, venture capital financings contracted by approximately 4%, and private equity transactions experienced the most pronounced contraction, declining approximately 15% compared to 2024 performance.
The 18 legislative instruments undergoing remake face automatic expiration on April 1, 2026, unless action is taken to extend or refresh them. ASIC’s overhaul strategy involves maintaining the core substance of existing relief while implementing structural and technical improvements designed to address current market conditions. The regulator plans to maintain the relief framework for an additional five-year period.
ASIC’s remake initiative encompasses both substantive refinements and administrative modernisation. According to the regulator’s proposal, modernisation efforts will incorporate explanatory materials designed for accessibility, incorporate legislative terminology amendments following recent Corporations Act updates, and refine the eligibility criteria for specific relief categories.
One significant modernisation involves updating language classifications. The instruments will transition from references to “prescribed financial market” to the updated terminology of “declared financial market.” Additionally, ASIC intends to streamline provisions by eliminating cross-references to regulatory orders that no longer retain operational relevance.
Beyond general updates, ASIC has identified several targeted amendments. Three additional jurisdictions – Belgium, Norway, and Portugal – will be incorporated into foreign bidding frameworks under the unsolicited offers instrument. Specific technical modifications will be implemented within provisions addressing real estate company structures and internally directed portfolio services arrangements. ASIC characterises these changes as “intended to improve clarity, not change the operation of the relief.”
The 18 instruments undergoing remake address diverse transaction scenarios, ranging from minimum subscription thresholds and capital security classifications to rights offerings, convertible note conversions, and controller-initiated share sales. The provisions specifically govern takeover-related activities, including accelerated rights issue mechanisms and approved foreign market transactions involving securities offerings and financial product distribution frameworks.
For insurance professionals, these regulatory instruments remain relevant to certain capital-raising activities and financial product distribution arrangements that may involve insurance-related entities or products. The modernisation ensures that relief provisions remain current and accessible as market participants navigate evolving transaction structures.
ASIC is accepting submissions on its regulatory remake proposal through Dec. 19, 2025, with responses directed to rri.consultation@asic.gov.au.
