grassseeds
Regular
I believe that many shareholders are underestimating the attempt by Hulich etc to get on AVZ Board. I see it as a major concern. I raised the issue directly with AVZ 12 months ago ( i also discussed it after the AGM ) and expressed my concern about the large Chinese shareholding. My concern was the effect it would have on Board positions if they nominated for Director positions and combined their shareholding. We know that they have over 20% shareholding but they may have a number of other smaller shareholders lifting the combined holdings to close to 30%. As some others have stated Hulich etc i believe is a trojan horse acting for the Chinese shareholders. If you look at what percentage of voting shareholders you need to get control of a company the number could be as low as 30% and generally less than 50%. At the last AGM only about 39% of all shareholders voted. We don't know the breakup. To counteract the possible Chinese block voting we probably need at least 30% of Institutional and retail shareholders to vote for the current board. Note only votes that are submitted to the AGM resolutions can be counted. It would appear that AVZ will need some positive news before the AGM to counteract the Hulich etc attempt to get on the board. The only other alternative is for AVZ to get a new shareholder to invest and have their vote supporting the current board.
We are getting to the pointy end of this saga and hopefully, long term retail shareholders are not shafted.
We are getting to the pointy end of this saga and hopefully, long term retail shareholders are not shafted.