The Government has introduced the Corporations Amendment (Simple Corporate Bonds and Other Measures) Bill 2013 into the House of Representatives. (Background)

The legislation amends the Corporations Act to:
• introduce a two-part simple corporate bonds prospectus – While the framework for the 2-part prospectus will be contained in the Corporations Act (in particular, the eligibility criteria for using a 2-part prospectus), the content and structure of the 2-part prospectus will be specified by regulations.
The 2-part prospectus will consist of a base containing corporate information which will have a life of three years and an Offer-specific part outlining the key details of the offer.
• modify the current director’s liability that is attached to the offer of simple corporate bonds: directors and proposed directors of a body making an offer will only have liability for any misstatement in, or omission from, the disclosure document where they are involved in a contravention.
• to allow simple corporate bonds to be traded using simple retail corporate bonds depository interests

The Simple Corporate Bonds provisions has effect on a day fixed by Proclamation or the day after six months after Royal Assent.