Saluda Medical (ASX:SLD) said that the Australian Securities and Investments Commission (ASIC) granted relief to its Australian unit, Saluda Medical Pty Ltd, from certain obligations, including the requirement to prepare standalone financial reports, have them audited, and report to members separately, according to a Friday Australian bourse filing.
The company said the relief applies from the financial year ended June 30, and each subsequent financial year, with Saluda already preparing consolidated financial statements that include the Australian subsidiary, avoiding the need for separate engagement of Australian accountants and an external auditor.
The relief also reduces the risk of shareholders and creditors being misled by separate financial reports, while creditors of the Australian subsidiary will benefit from being party to a deed of cross guarantee (DOCG), it added.
The company's shares rose 3% in recent Friday trade.