What is a CHESS depositary interest or CDI?
The electronic transfer system used on ASX, known as ‘CHESS’, cannot be used directly for the transfer of securities of foreign companies. Accordingly, to enable companies such as Unilife Corporation to have their securities cleared and settled electronically through CHESS, depositary instruments called CHESS Depositary Interests (CDIs) are issued. The CDIs confer a beneficial interest in Unilife Corporation’s common stock which can be traded on ASX. CDI holders receive all of the economic benefits of actual ownership of the underlying Unilife Corporation common stock (for example the right to receive shareholder notices, vote at meetings and receive dividends). The legal ownership of all CDIs is held by CHESS Depositary Nominees Pty Limited, which is a subsidiary of the ASX.
