Sevco’s independent directors have admitted that Dave King doesn’t yet have the funds to comply with the Takeover Panel Ruling which has been backed up the the Court of Session.
Early in 2015 the South African based criminal worked alongside three others to buy up over 30% of the shareholding in the company which required an offer to be made to the remaining shareholders.
King managed to drag his feet for three years to avoid using his own money but is now in danger of the financial cold shoulder after refusing to comply with the law of the land.
Last Friday, a month after the Court of Session ruling, Laird Investments announced an intention to make an offer and while that was good enough to satisfy BBC Scotland it won’t wash with the Takeover Appeal Board.
Admitting that their chairman didn’t have the funds in place three independent Ibrox directors informed shareholders.
The Independent Directors wish to draw your attention to Section 6 of the Offer Announcement – Financing of the Offer. At the date of issuing the Offer Announcement the funds were not “cash confirmed” by an appropriate third party as required by Rule 2.7(d) of the Code but the Independent Directors understand from Laird that this will be addressed promptly after 4 April 2018, so that when the Offer is made the cash to fund that Offer will be ring-fenced for the purposes of the Offer and confirmed by a third party. The Independent Directors will seek verification that this has occurred
According to a news release from King’s Micromega company in South Africa the funds for an offer will be available from April 23.
With strict currency transfer restrictions in South Africa and no UK NOMAD prepared to work with King there is no chance of shareholders finally being issued with a prospectus.
