ID :
15029
Wed, 08/06/2008 - 10:49
Auther :
Shortlink :
http://m.oananews.org//node/15029
The shortlink copeid
UK investor takes Challenger to court
(AAP) - British property magnate Vincent Tchenguiz has taken legal action against Challenger Financial Services Group Ltd as the next move in his campaign to wind up the finance house and fund manager's underperforming infrastructure fund.
The application to the Supreme Court of NSW seeks orders preventing the
Packer-family backed Challenger Financial Services Group's satellites voting their
combined 33 per cent stake at an upcoming meeting.
At the same time, Challenger itself has upped the ante with an application to the
Takeovers Panel calling into question the extent of Mr Tchenguiz's disclosed stake
in the Challenger Investment Fund (CIF).
Mr Tchenguiz's London-based Consensus Business Group is CIF's second biggest
unitholder.
Consensus says it owns 25.1 per cent of CIF's issued capital through Arkmile Ltd, a
Tchenguiz family company, but Challenger says the stake is 18.57 per cent.
Both of Tuesday's moves came ahead of an August 28 meeting at which security holders
will be asked to vote on a proposal to wind up CIF.
The meeting was brought by Arkmile Ltd.
CIF's responsible entity, Challenger Listed Investments Ltd (CLIL), revealed
Arkmile's legal move on Tuesday in a statement to the Australian stock exchange.
"Arkmile is seeking declarations and orders from the court which, if granted, would
prevent CLIL, Challenger Life No. 2 Ltd and Challenger Management Services Ltd from
voting any securities they hold in CIF on the winding up resolution," it said.
CIF has already recommended its securityholders reject the resolution to sell its
assets and return the cash to investors.
Meanwhile, Challenger itself has raised question over 7.74 per cent of "hedge
securities", or equity derivatives, that Arkmile holds in addition to its 18.57 per
cent of ordinary securities.
Counted together, both holdings would give Arkmile a stake in the fund of well over
20 per cent.
Challenger has asked the Takeovers Panel to stop Arkmile's hedge security stake
being voted at the meeting and to postpone the meeting until the disputed parcel is
sold off.
The application to the Supreme Court of NSW seeks orders preventing the
Packer-family backed Challenger Financial Services Group's satellites voting their
combined 33 per cent stake at an upcoming meeting.
At the same time, Challenger itself has upped the ante with an application to the
Takeovers Panel calling into question the extent of Mr Tchenguiz's disclosed stake
in the Challenger Investment Fund (CIF).
Mr Tchenguiz's London-based Consensus Business Group is CIF's second biggest
unitholder.
Consensus says it owns 25.1 per cent of CIF's issued capital through Arkmile Ltd, a
Tchenguiz family company, but Challenger says the stake is 18.57 per cent.
Both of Tuesday's moves came ahead of an August 28 meeting at which security holders
will be asked to vote on a proposal to wind up CIF.
The meeting was brought by Arkmile Ltd.
CIF's responsible entity, Challenger Listed Investments Ltd (CLIL), revealed
Arkmile's legal move on Tuesday in a statement to the Australian stock exchange.
"Arkmile is seeking declarations and orders from the court which, if granted, would
prevent CLIL, Challenger Life No. 2 Ltd and Challenger Management Services Ltd from
voting any securities they hold in CIF on the winding up resolution," it said.
CIF has already recommended its securityholders reject the resolution to sell its
assets and return the cash to investors.
Meanwhile, Challenger itself has raised question over 7.74 per cent of "hedge
securities", or equity derivatives, that Arkmile holds in addition to its 18.57 per
cent of ordinary securities.
Counted together, both holdings would give Arkmile a stake in the fund of well over
20 per cent.
Challenger has asked the Takeovers Panel to stop Arkmile's hedge security stake
being voted at the meeting and to postpone the meeting until the disputed parcel is
sold off.
