In light of the information Penong has posted I see little point in pursuing this avenue. If we were successful then we would be listed as non-voting creditors below all other creditors. Therefore we have not improved our position. As shareholders we are already entitled to the residue of the company once other creditors have received their due. In my estimation it would be a costly and uncertain exercise for little gain. It could also portray us unfavourably in the eyes of employees, government and lenders. Our fate largely rests in their hands, the last thing we want to do is get them offside.
I think we should focus on what we can offer the lenders as shareholders. We want to make available to them the option of returning the company to a board untouched. At the moment that option is not available due to the old board being in place. Our best course of action is to try to come up with an alternative board (involving the banks in the formulation of this would be a good idea), apply to the administrators to have an EGM to oust the current board and hopefully the financials of the company are sound enough for it to be handed back with little damage.
Tom Koutsantonis was damning of the banks in forcing Arrium in to voluntary administration. If we are trying to orchestrate a path out of VA then he might be a powerful ally. He may also have contacts that could help us formulate an alternative board. Predictably, my efforts to contact Bob Every through Cricket Australia have yielded no reply.
Paramount in this whole process is numbers. The more shares and shareholders we represent the more likely we are to be heard. If you haven't joined the Facebook page yet, please do. If you don't have Facebook or would like to remain anonymous but would like your holdings to contribute to the cause then please just send me a message with your holdings and I will add them to the total.
