Australia bourse operator's costs surge in software upgrade
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 26 2024
0mins
Source: Reuters
ASX Software Upgrade Costs: The Australian Securities Exchange (ASX) announced that the second phase of its clearing and settlement software upgrade will cost up to A$320 million, leading to a 4.7% drop in its shares. The first phase is expected to be completed by 2026 with costs now estimated at the higher end of A$105 million to A$125 million.
Regulatory Challenges: This update follows a lawsuit from the Australian Securities and Investments Commission against ASX for allegedly misleading investors regarding its critical infrastructure upgrades, after previously abandoning a blockchain-based system that resulted in a significant financial write-down.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
