Buying or Selling UYCE Shares
Introduction
Both the Warburton and Yarra Junction Community Bank Branches are operated by the Upper Yarra Community Enterprise Limited (UYCE).
Becoming a shareholder of the UYCE is a significant way to support the operations of the local Community Banks under their charter, and contribute to the community investment program, which provides valuable support to local initiatives across a range of services and activities.
“Becoming a shareholder and investing in UYCE enriches the lives and economic prosperity of people in the local community.”
How it works
UYCE operates a Special Market called a Low Volume Market (LVM), to facilitate the trading of its shares, introducing potential shareholders to this market. Trading arrangements are made directly with the Special Market.
This ASIC-approved LVM is essentially a list of buyers and sellers who have registered their interest in trading shares. It is the responsibility of buyers to contact sellers and or vice versa, UYCE does not become involved in the share trading transactions but is able to assist with the process if necessary.
Special characteristics of the LVM
- ‘One shareholder one vote’ constitutions rather than ‘one share one vote’.
- Shareholder limit of 10% of issued capital for individuals and related entities.
- There is a limit on profits that can be distributed to shareholders, including through dividends. By way of overview, the limit is the higher of:
- 20% of the profits of the Company otherwise available for distribution to shareholders in the financial year (after adding back Community Contributions during the year), and
- the weighted average interest rate on 90 day bank bills during the year plus 5%, multiplied by the value of the share capital on issue at the end of the financial year.
- Persons who do not possess a ‘close connection’ with the community served by Upper Yarra Community Enterprise Ltd can be prohibited from acquiring shares in the Company.
- Share transfers which result in the number of shareholders in Upper Yarra Community Enterprise Ltd falling below a fixed ‘Base Number’ will be prohibited.
- These restrictions are intended to embed the community nature of Upper Yarra Community Enterprise Ltd .
Important Information
You can find out more about trading conditions here, including Recent Share Trade History, the Register of Interested Parties (buyers and sellers).
Annual Reports for UYCE are provided below. These are published in October each year, with the Annual General Meeting typically in November.
Want to Register your Interest?
There is an online registration form available here and downloadable links should you prefer to submit your application in hard copy.
*Please take the time to read the Special Market Conditions Notices and the Special Characteristics of Community Bank Companies.
OTHER INFORMATION
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