Sanditon to liquidate – The board of Sanditon Investment Trust says that it has received indications from certain significant shareholders that they intend to vote against the continuation vote to be proposed at the AGM planned in 2020.
In light of this shareholder feedback, and following consultation with the investment manager, Sanditon Asset Management, the board has decided that it is in all shareholders’ interests to propose a members’ voluntary liquidation of the company at this year’s AGM.
The board expects to announce Sanditon Investment Trust’s annual results before the 31st October with the Annual Report and Accounts and Notice of AGM to be posted to shareholders on or before 5 November 2019. At the same time, the company will publish and post a circular to shareholders convening a general meeting, to be held immediately after the AGM, at which a special resolution will be proposed to place the company into members’ voluntary liquidation.
The board will recommend that shareholders vote in favour of the members’ voluntary liquidation proposals and will vote their shares (736,818 – 1.47%) in favour of the resolution. The board has also received indications from the manager that its five directors will also vote their shares (10,995,722 – 21.99%) in favour of the resolution.
[QD comment: Sanditon was launched in 2014, initially as European focused trust but later as a UK All Companies one. The shares were trading at a 13% discount at the close of business on 17 October and it had a market cap of just £41m. The performance of the trust was pretty dreadful – by far the worst of any trust in its sector, having lost money for investors since launch. The largest external shareholder is Premier Fund Managers. It comes as no surprise that shareholders were unhappy. As usual, we’d like the board to come up with a rollover offer that allows investors to switch into a more successful trust. In this case though, we doubt anyone has unrealised capital gains to worry about.]
UK All Companies annualised NAV returns at 17 October 2019
SIT : Sanditon to liquidate
What a dismal comment. The Trust never approached its
stated aims. The managers and directors will have benefitted handsomely from their association with this debacle. Their egregious remuneration should be handed back or must failure be handsomely rewarded