Lest anyone think that myattitude towards OBJ’s future is entirely negative, it might be useful tobroaden the picture a little.
I’m entirely sympathetic with easysell. Many of us,me included, are in much the same boat. There must be very, very, few shareholders who are not underwater on this one.
I also agree with cmk1969 that the shareholders of this company have been shafted by incompetent management and by persons whohave put their self-interest well before the interests of shareholders. At one stage MisterS mentioned that directors had a duty to put the interests of shareholders first, but that’s not the way the real world works.
Having saidwhich there is hope and cautious optimism ahead.
Steve Schapera has brought Paul Peros into the company and, if a soufflé can rise twice, Reduit may transform our fortunes. Itwill take a couple of years to find that out, but I am not at all concerned bythe fact that we have started during a pandemic.
Some industries are countercyclical and do well in hard times. People stop going out to restaurants and elsewhere,and spend more time at home. Garden centres, Bunnings and other home improvers thrive.Surf shops have boomed as Jobseeker payments increase the discretionary spending power of the young. So there is every probability that the cosmetics industry will also thrive as people re-assess what is important and build their self-esteem.
Norfor that matter does it concern me that Reduit is an upmarket product. We can safely leave it to Paul Peros to pitch Reduit’s products where he thinks it will do best.
And one of the reasons for that is not only because of his experience but also because his interests are closely aligned with our own.
Ialso like the fact that Steve Schapera has increased his share in the company.Had he and Paul Peros walked away OBJ would certainly have folded.
I certainly have issues with how the Board went about gaining control over the company andI do think that there is a degree of cosiness amongst the hangers on which weneed to be on guard against. Some of the hangers on may in the future seekBoard positions and shareholders will need to prevent that.
If one has a concern about the company’s prospects it is not so much about how the company may go but more about whether the fruits of success, should they come, will find their way down to us ordinary mortals.
So the biggest concern I have is not with the Board and the performance of Mr Peros but with the ability of it shareholders to keep them in line.
In that I am less hopeful. The hagiographicpicture painted by SDJ shows that there are many amongst us who have, so far,cheered on the Board no matter what they do to shaft us.
Shareholders need to smarten up. There is no one on the Board who represents us. Things have happened in the past that suggest people close to the company have interests which are not aligned with ours.
If Reduit succeeds with its internet marketing one would hope that we will never hear of Nutrition Systems again but if we do shareholders will need to be smarter than they were before.
So, in a nutshell, there’s hope but we shareholders will have to make sure that we get our share too.
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