The Edge Performance VCT (EDGH and EDGI) I have long considered to be a basket case of the first order. VCTs are typically owned only by private shareholders but I am always astonished by how those shareholders put up with dire performance and excessive management costs over many years. But in the case of Edge they have finally taken action – namely removed all but one of the directors at the AGM and voted down other resolutions. It was not even apparently necessary to call a poll as the resolutions were defeated on a show of hands vote according to the RNS announcement of the result, but the proxy votes were clearly of the same mind.
The sole remaining director is now apparently considering what to do next. See this report by ShareSoc on the meeting: https://www.sharesoc.org/blog/vcts/edge-another-vct-problem-case/
I would suggest the answer is simple: ask for volunteers with relevant experience from the shareholders to serve as directors before deciding on any future plans.
Roger Lawson (Twitter: https://twitter.com/RogerWLawson )
You can “follow” this blog by clicking on the bottom right.
© Copyright. Disclaimer: Read the About page before relying on any information in this post.
Yes, a good outcome – but it’s a long way from being sorted. The Manager was not only on the Board of the VCT, but also on the Board of Coolabi, which forms 80% of the NAV of the whole fund. And then there is the management contract to sort out. Whoever takes this on will have their work cut out for them in sorting out the mess.
Yes I agree that the directors have left this company in a very difficult position with such a large stake in questionable business Coolabi. So it was definitely time for some changes.