Fat Tail Dispute As announced on 18 December 2023, Fat Tail filed an originating process on Friday 15 December 2023 commencing proceedings in the Supreme Court of Western Australia against the Company and two of its directors, Mr Nigel Ferguson and Mr John Clarke (the Defendants). Fat Tail alleged, among other things, that the Company engaged in oppressive conduct against shareholders. More particularly, Fat Tail alleges that, during the months of March to May 2022, AVZ did not adequately disclose matters relating to its application to convert PR 13359 into a PE and the circumstances surrounding Mr Ferguson’s resignation from AJN Resources Inc.. Fat Tail alleges, in AVZ’s view without any apparent basis, that such actions were contrary to its, and other shareholders’, interests.
Having previously been put on notice that the Defendants considered Fat Tail’s claims to be materially deficient, Fat Tail filed its third iteration of its statement of claim on 27 February 2024. AVZ has put Fat Tail on notice it considers that the statement of claim still fails to articulate a reasonable cause of action. AVZ denies these allegations and maintains that its disclosure was appropriate. AVZ will continue to vigorously defend these claims. On 29 February 2024, the Company filed its defence against Fat Tail. The next substantive procedural step is for Fat Tail to file any reply by 28 March 2024.
AVZ Price at posting:
78.0¢ Sentiment: Hold Disclosure: Held
