Dave King has lost his appeal against the ruling of the Takeover Appeal board!
The South African based criminal had appealed against the decision of the Court of Session in Edinburgh to back up the initial ruling on his concert party takeover of Sevco three years ago.
Two days had been set aside for the ‘appeal’ but with nothing worth arguing over King’s appeal was thrown out shortly after lunch.
King, whose QC described him as penniless to the Court of Session in October, will now have to fund a prospectus to offer shareholders 20p per share or face the Cold Shoulder from UK financial institutions.
King’s appeal rejected. King or NOAL can make offer for shares. more detail soon
— SFM (@TheSFMonitor) February 28, 2018
For clarity, Dave King’s appeal has been rejected. Lord Glennie’s judgement includes a provision that NOAL or Dave King may make the offer – but the offer MUST be made. Written judgement to follow.
— SFM (@TheSFMonitor) February 28, 2018
Hearing that King notified RIFC board this morning by email that NOAL would make offer if appeal failed.
— SFM (@TheSFMonitor) February 28, 2018
The toxic nature of the man described as a glib and shameless liar by a South African judge was already a major hurdle but the cold shoulder could go much further.
Normal banking facilities could be withdrawn by Metro Bank while his business partners such as Douglas Park may find things getting difficult while he sits in the blue room of unsurpassed dignity.
Around 22% of shareholders voted against a new share issue at the last AGM, the prospect of 20p per for shares that are virtually worthless is bound to be very attractive.
Even though a new share issue is highly unlikely the Sevco board does have the power which would dilute existing shareholdings making the 20p offer even more appealing.
To comply with the ruling King will need to provide around £11m for an escrow account.
