By Tom Winnifrith, The Sheriff of AIM | Friday 17 March 2017
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
This is not the fault of Crown Ocean but of the bastards who have been grossly overpaid for destroying value at Bowleven (BLVN) - the team let by piggy in chief Kevin Hart. As I reported yesterday, disgraced CEO Hart may have been booted off the board by shareholders but he remains as CEO and is still running the company on full ( unjustifiable) pay. This is because Crown has 2 directors but the old regime still has two men on the board and the casting vote with chairman Mr Allan. Thus there is no change of personnel at Bowleven or of strategy. This really is a disgraceful way for directors to treat the folks who own the company - shareholders.
So Crown, which owns 22% of the equity, has called for another GM to appoint two more new directors Julien Balkany and Didier Lechartier and to oust Mr Allan who survived by a tiny margin at the last GM.
The hedge fund states "Crown Ocean implores the Chairman, Mr Allan, to step down as a director and Chairman now to avoid further unnecessary waste of Bowleven's resources."
Crown is spot on. The shareholders have spoken but as with Brexit Mr Allan is behaving like Ken Clark, Nick Calamity Clegg or that silly cow Gina Miller in insisting that they know better than the great unwashed. The behaviour of Hart in clinging onto his very well paid job and of Allan in supporting this is a disgrace and shows men who display blatant greed as openly as they show a contempt for any notions of shareholder democracy.
The way forward is for the Nomad to have a quiet word with the Chairman, hand him the metaphorical revolver and glass of whiskey and get him to to the decent thing. If Allan clings on he merely delays the inevitable. At a second vote how can anyone back the shamed team Hart?
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