By Nigel Somerville, the Deputy Sheriff of AIM | Thursday 30 March 2017
Disclosure: I own shares in one or more of the stocks mentioned. 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 morning AIM-listed oiler Bowleven (BLVN) announced the departure of Chairman Billy Allan and two former board members from the company. Not before time. With a second EGM in the offing the writing was on the wall for them all anyway. The ShareProphets RNS Translation Service has been taking a look at what the company had to say (original in bold).
Bowleven, the Africa focused oil and gas group traded on AIM today announces that following 18 months' service…..
…during which time the share price went nowhere until EGM resolutions to oust him were tabled….
….Billy Allan, non-executive Chairman of the board, has resigned as a director of the Company with immediate effect.
…better to jump than be pushed
Billy will be replaced as Chairman by Christopher Ashworth, non-executive director, with immediate and simultaneous effect. The board would like to take this opportunity to thank Mr Allan for his service to the Company.
He has indeed done the company a great service by resigning, and the market has appreciated this great service by marking the shares higher on the news that the company no longer has to allow him to trouser a stack of shareholders’ cash whilst destroying shareholder value and blatantly going against his shareholders’ democratically expressed wishes.
In addition, and further to recent press speculation, the board confirms that the employment contracts of both former executive directors Kevin Hart and Kerry Crawford have been terminated with effect from 31 March 2017, and both are no longer involved in the running of the Company.
The Glasgow Herald released that story for us, saving the company a few quid in not having to release an RNS. A couple more days of extremely well-paid garden leave and they’ll be gone – not before time, given that shareholders voted to get rid of them more than two weeks ago.
The board continues to focus on carrying out its previously announced Strategic Review and a further announcement will be made regarding this in due course.
The new board is implementing a major policy shift in that it is now looking at maximising shareholder value, rather than director remuneration value.
And so it is game, set and match to Crown Ocean – and the army of private investors which flexed its muscles at the first EGM alongside Crown Ocean in the face of institutional complacency. Isn’t it funny how one’s perspective changes when it is one’s own cash invested, rather than playing with other peoples’ money?
There is, of course, another elephant in the room in the form of some very serious allegations implied by Crown Ocean just last week (see HERE). Will that lot now be quietly buried, along with disclosure of any pay-off to the departing trio?
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