Back on 13th October 2023 LNK made an Announcement called "Board Renewal". It was, as stated, all about "board renewal and resizing" announcing the departure of 3 Directors at the AGM and adding Mark Lennon to the Group Board. Numbers dropped from 8 to 6.
That was timely, and had been on my mind prior to the Board acting. It was obvious, wasn't it? After all, Link was due to become an emancipated skeleton of what it once was. PEXA, BCM, Fund Solutions, all exiting stage-left, no takeover offers festering, litigation and regulatory investigations close to resolution (hopefully), forthcoming loss of HESTA etc. Need I go on?
Market capitalisation is now a shadow of the past. In my opinion the company no longer has the scale to operate the way it used to. That, in itself, requires a different mindset in the governance of the company. Perhaps Link could once afford to pay big chunks to consultants and advisors like investment banks, big legal firms etc, but those days should now be history. Just think of how much money drained out of Link after year-on-year takeover/business sale machinations, not to mention the sorry Woodford saga. I am not personally convinced the mindset has changed or will change anytime soon. Hope I am wrong in that regard.
So the Link Group Board now adds Gail Pemberton as a member. She certainly has impressive credentials, although she seems to have a huge amount of commitments elsewhere on her plate.
Net reduction in the Group Board therefore equals 1, based on their own metrics. Not much of a "resizing" if you ask me.
LNK Price at posting:
$1.52 Sentiment: Hold Disclosure: Held
