Apparently a mystery shareholder made all the difference in determining whether Resolution 11 was passed at Friday’s RIFC AGM. Fans of complete bullsh*t fantasy will be aware that RIFC is the shopping basket in which the box of teabags is held, and that the resulting beverage is best enjoyed with a ‘Club’ biscuit. Or maybe a Kit-Kat…
Resolution 11, sought permission for the disapplication of pre-emption rights, paving the way for a possible issue of new shares in RIFC. Such a move could then lead to some or all existing director loans being converted into equity, bring new money into some entity or other which isn’t the ethereal ‘club’, and dilute existing shareholdings if their holders did not participate.
As a special resolution, it required 75% shareholder approval to pass. And it fell just short, gaining 74.6% of votes cast…
This turn of events should prove to be a good test of the Sevco board’s ‘Plan B’ credentials, although – as we learned during the AGM – they do have the advantage of having a funding plan which is… errr… completely separate from their business plan!
But what of the mystery shareholder I mentioned at the start of this piece? Well, according to the Daily Record’s Gary Ralston (who amazingly keeps on getting stories despite having tragically ‘lost his relationship’ with Sevco a few months ago), the shadowy figure, who owns around 1.25% of the ‘Ibrox outfit’ failed to vote for Resolution 11. Apparently his or her influence “could have pushed the vote over the line and helped dilute the influence of Sports Direct owner Ashley and his allies the Easdale brothers at the club”. And that is hugely disappointing, because it would be great to see folk who kept HMS Sevco afloat having their holdings reduced, wouldn’t it? I mean, its only right and proper, isn’t it? And it would help to convince other people to invest, wouldn’t it?
Ralston, who perhaps lists his relationship status as “Sevco-separated” when completing forms for the HR department etc had this to say about the phantom shareholder:
“There is anger and disbelief at Rangers* boardroom level at the actions of Mr X, in particular, who was awarded penny shares by former chief executive Charles Green. Ibrox followers will also be dismayed at the action of their greatest goalscorer in failing to support a board widely seen by Rangers* supporters as having the best interests of the club at heart.
Mr X’s failure to vote will disappoint King, who backed his friend during most of 2015, when he was on gardening leave after quitting as manager the previous December.
Many fans felt X should have ripped up his £750,000-a-year contract when King’s regime took over the club last year.
However, the South African-based tycoon argued the former manager and first team coach was right to expect his contract be respected and honoured in full.”
I don’t know about you, but I would love to know the identity of the secretive figure who detailed the board’s Big Plan. Only someone particularly Machiavellian would be able to personally derail the share issue when numerous others did not vote, and over a quarter of those who did voted against it.
On the face of it, this sounds like someone who is potentially at risk of being on the receiving end of some seriously bad PR. Or at least they might be if
- any of the Scottish press were ever influenced by the Sevco media operation; and/ or
- the voting activities of an individual private shareholder were to find their way into the public domain.
But that could never happen. Could it?
#KeepOnClumping [And a hat-tip to @McNallyMirror who was thinking along the same lines as me!]
NB Other recent Clumpany offerings include: