Crossland Prospectus

1) Whenever company decides to sell securities to the public they are required to compile a prospectus. It can be defined as “document issued by a company setting out the terms of its equity issue” (http://www.asx.com.au/professionals/listing/steps/prospectus.htm). The prospectus contains company financial information such as “financial history, details of the existing business, proposed financing, and plans for the future.” (Ross, Westerfield, Jordan, 2007) All this information is intended for potential investors so they’re informed and can decide as to whether or not they want to invest in the company.

2) In Australia a company’s prospectus must lodged with both the Australian Securities Exchange (ASX) and the Australian Securities and Investments Commission (ASIC).In the US the prospectus must lodged with the Securities and Exchange Commission (SEC).

3) In order to subscribe to this issue of shares one must fill out the application form which is situated at the end of the prospectus. The firsts part of the application form involves filling out general details (ie, name, address, credit card details) while the second part relates to the actual purchase of the shares (ie, purchase amount etc).

4) Crossland Uranium Mining Limited are hoping to raise 5.67 million. This will be done through their initial public offering (IPO) in which they are planning to sell 22,680,000 shares at the price of 25 cents each.

5) An underwriter is usually the “highest bidding” (Ross, Westerfield, Jordan, 2007), financial institution that the company, wishing to raise capital through an IPO, offers it’s securities. Their job is to manage the IPO process, including the prospectus. This can involve assessing the company’s financial history and information and then based the company’s financial status develops a method in which to issue the shares to prospective investors. The underwriter will also accordingly price the shares and sell them. The underwriter makes their profit from the “spread” or the difference between the price they paid for the securities and the price they sell the securities to the public._________________________

6) Crossland Uranium Mining Limited intends to use the funds raised by the IPO to fund an exploration programme to find more mineral deposits of specifically uranium and diamonds over the next two years. These costs will include the exploration as well as administration costs, the expenses of the IPO, and the subscription and possible Canadian investment joint venture.

7) The minimum amount of shares a prospective investor can subscribe to, as stated in the prospectus, is 8000 shares. This equates to a minimum purchase of $2000 worth of Crossland Uranium Mining Limited shares.

8) A share option is “a contract between two parties” (http://www.asx.com.au/programs/vignettes/lesson4.html) which states at what price and date the purchase of shares will take place. Variables include the exact price of the trade (which means that there a transaction wont take place if the price is never reached) and the date which the transaction will take place on or before. вЂ?Call options’ are when the buyer has “the right, but not the obligation to buy the underlying shares at a predetermined price” (http://www.asx.com.au/programs/vignettes/lesson4.html) whereas on the other hand вЂ?Put options’ are when the seller has the right but not the obligation to sell the underlying shares.

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10) CHESS (Clearing House Electronic Subregister System) is an “electronic book-entry register of holdings of approved securities” (http://www.sraa.com.au/introduction_to_chess.htm). Its main purpose is facilitate a fast, and efficient method of trading shares between investors. HIN (Holder Identification Number) “identifies your registration on the CHESS subregister” and therefore allows the owner to trade on via CHESS.

11) Crossland Uranium Mining Limited did, as it stated it’s prospectus quote on the ASX on the 13th of April 2007. The trading price opened at 59 cents and closed the day 2 cents higher at 61 cents.____________

12) Crossland Uranium Mining Limited have five directors in charge. Robert A. Cleary is the Non-Executive Chairman and Geoffrey S. Eupene is the Executive Director. While Patrick J D Elliot, Peter W. Walker and Robert L. Richardson are all Non-Executive Directors.

13) The directors have a combined number of 10,965,557 shares in the Crossland Uranium Mining Limited with Robert A. Cleary (1,892,326 shares), Geoffrey S. Eupene (3,201,350 shares), Patrick J D Elliot (3,692,399 shares), Peter W. Walker (2,179,482 shares) and Robert L. Richardson (zero shares)

14) A Non-executive director is a “director who is not employed by the company in an executive position.” (http://www.companydirectors.com.au/Policy/FAQs/Roles+Duties+And+Responsibilities/Role+of+NEDs.htm). Instead they’re elected by the shareholders of the company and govern the company as a representative of the shareholders who elected them. This allows the directors to have a certain heir