ASIC has launched a two-year trial starting 10 June 2025 to streamline IPOs through the ASX fast-track pathway. The move aims to revive the Australia’s sluggish IPO market by reducing regulatory hurdles, shortening timelines, and improving capital access.
Who is eligible for the fast-track process?
To be eligible for the trial, entities must meet ASX’s fast-track listing criteria, including:
- Market capitalisation exceeding $100 million at listing, and
- No ASX-imposed escrow conditions.
What is the trial process?
- Companies must lodge a pathfinder prospectus or PDS (used to engage sophisticated/ professional investors) to ASIC at least 14 days prior to lodgement of the final prospectus.
- ASIC will conduct an informal review during that period and typically won’t require further review at lodgement if no material changes are made.
- ASIC has issued a ‘no-action’ position allowing eligible companies to accept retail investor applications during the seven-day exposure period, which was previously prohibited.
What has changed?
The key changes, which commenced on 10 June 2025, focus on streamlining the IPO process for eligible entities. Here’s a breakdown of the ways in which key processes have changed:
Topic
|
Before (standard process)
|
Now (trial process)
|
| Pathfinder Prospectus Review
|
Not reviewed by ASIC pre-lodgement
|
Reviewed informally by ASIC 14 days prior to lodgement
|
| Retail Applications
|
Not accepted during seven-day exposure period
|
Accepted under ASIC’s ‘no-action’ position
|
| Exposure Period
|
7–14 days; often extended if issues arise
|
Likely to stay at seven days as issues are resolved earlier
|
| IPO Timeline
|
Longer – retail offer delayed until post-exposure
|
Shorter – retail offer can start immediately at lodgement
|
| Market Risk Exposure
|
Higher – more time for market shifts to derail pricing
|
Lower – faster execution reduces volatility exposure
|
Why is this important for governance?
While this trial accelerates IPO timelines, it also raises the bar for governance readiness. With reduced time to adjust after lodgement, companies must ensure:
- well-prepared prospectus materials, requiring no material late-stage changes
- tight board oversight and sign-off processes
- seamless coordination with legal, financial and regulatory advisors.
Our governance experts are here to help
At Source, we work with clients to align governance and disclosure practices with evolving market expectations. We help ensure IPO readiness is not left to chance. If you’d like to explore what this could mean for your organisation, please reach out to Lisa Dadswell, Managing Director Source GRC at lisa.dadswell@sourceservices.com.au
