The Board of London & St. Lawrence Investment Company is proposing a scheme of reconstruction and members’ voluntary liquidation.
Under the reconstruction, shareholders will have the option of electing to:
(a) roll over their investment into new units in Practical Investment Fund, a unit trust with the objective of providing investors with above average capital growth and increasing real income through investing in a wide spread of investment companies and other securities, which is managed by Consistent Unit Trust Management Company Ltd, currently a wholly-owned subsidiary of the trust; or
(b) realise all or part of their shareholding for cash at the terminal asset value (“TAV”) under the liquidation. The TAV is not expected to be less than 2.5 per cent. discount to the net asset value on the calculation date for the reconstruction.
Any shareholders that hold in excess of 5 per cent. of the voting rights will also have the option to elect for an “in specie” distribution of the underlying investments.
As part of the reconstruction, certain members of the Ashfield Family and certain directors have indicated to the independent directors that they would be interested in purchasing Consistent Unit Trust Management Company Ltd, at a fair market price to be agreed.
Aviva will vote in favour of all shareholder resolutions in connection with the reconstruction.
The Practical Investment Fund, which owns 1,590,000 shares in LSLI, intends to elect for an “in specie”
distribution under the Reconstruction.
LSLI : Goodbye to London & St Lawrence