The drop has left investors hungry for blood, with three class action law firms investigating the company for deceptive and deceptive conduct or breach of continuous disclosure obligations.
Macquarie’s pre-float marketing campaign has been compared to putting lipstick on a pig, with some investors describing themselves as “stuck with the rancid bacon.”
The brutality and speed of the fall in the share price damaged the reputation of Nuix and Macquarie and resulted in the regulator sends notices to both companies warning them to keep relevant documentation dating back to 2018.
ASIC’s investigation focuses on allegations that Nuix overestimated its sales forecast ahead of its ASX listing on December 4.
On the same day that Nuix made its successful debut on the Australian Securities Exchange, Mr. Doyle and his wife Liza Choa-Doyle shelled out $ 4.6 million for a four-bedroom, four-bathroom penthouse in Pyrmont, bordering Sydney’s CBD.
Mr. Doyle became Chief Financial Officer of Nuix in 2011, around the time Macquarie became the company’s largest shareholder.
In September 2012, Mr. Doyle filed documents with the company’s watchdog, ASIC, indicating that he had received 50,000 Nuix shares costing him $ 301,500.
However, three years later, in December 2015, Mr. Doyle informed ASIC that he had sold those same 50,000 Nuix shares to his brother Ross Doyle in Switzerland in July 2012. That was six weeks before he owned the actions.
Although he apparently sold the shares to his brother for $ 326,000 about three years earlier, realizing a capital gain of $ 24,500, Nuix continued to produce internal and external documents which showed that Mr. Doyle still owned stocks until 2015, when their value jumped to $ 4 million. .
On the day the company was listed on ASX in December 2020, Ross Doyle was listed as the 14th shareholder of Nuix with 2 million shares, valued at $ 10.6 million at issue price. of $ 5.31.
Australian Federal Police are investigating possible violations of the Corporations Act involving Mr. Castagna, who recently saw his consultancy contract with Nuix terminated. The investigation is interested in the dating of Dr. Castagna’s $ 3,000 options package that provided him with a windfall of $ 80 million when Nuix went public in December 2020.
The Nuix Board of Directors said it intended to honor Mr. Vawdrey’s accomplishments at an “appropriate time in the future”, while Mr. Vawdrey said: “It has not been an easy decision to retire, but I think now is the time to implement a succession plan … “
Executive search firm Russell Reynolds has been appointed to lead the CEO recruiting program.
For his part, Mr. Doyle will be leaving at the end of June. It’s unclear what Mr. Doyle plans to do next, but Nuix president Jeff Bleich gave him some ideas in an email in October 2018, obtained by this title, just as Nuix finalized a $ 50 million acquisition of US technology group Ringtail. “I’m optimistic about Nuix’s fortune, but if things don’t work out for you, then at least your 25 hours a day gives you a chance to win the Nobel Prize for expanding the space-time continuum,” a- he writes.
Mr Bleich was referring to a previous email in which Doyle said he endured grueling 90 days overseas to sign the Ringtail deal. “My longest day was 25 straight hours. Many of us have experienced the same conditions as an Iron Man…. Keep fit. SOUTH DAKOTA.”
In early Tuesday trading, Nuix shares are 1.9% higher.
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