The problem I see is now that Allco have no equity in any of the Rubicon trusts due to margin calls, the only asset left is the fees earned by managing the trusts,as a result they are going to hang on tooth and nail to keep managing the trusts. Considering what Allco paid for the management rights unless it is within there financial interest they will continue to manage and repell all attemps to change management .
The problem this position presents is that the best interests of shareholders may not be in the best interest of the managers(Allco) I believe shareholders at this stage need some say in how things are been run and decided and just not left to the current management I am unsure how this trust is set up ,however does any one know how shareholders can protect there interest with represenation at say board level . Can shareholders as a group demand or change management or at least have a say in decisions
Any ideas ???
RJT Price at posting:
0.0¢ Sentiment: Hold Disclosure: Held
