Maven Renovar VCT chair rallies shareholders to vote as requisitioned meeting looms

The chair of Maven Renovar’s board has called for shareholders to vote for the VCT’s existing strategy ahead of the impending requisitioned general meeting.

Fiona Wollocombe sent a video direct to shareholders today (1 August) reminding them there is 12 days until the requisitioned general meeting but effectively six days until votes must be in.

Maven Capital Partners replaced Amati Global Investors (AGI) as investment manager of the trust earlier this year to boost performance but there was no change to the investment policy.

The board proposed changing the investment strategy at the AGM in June, but the vote did not pass, and the board failed to be re-elected.

A group of shareholders – who have 5% of the voting share capital – together with the former manager are now “seeking to exert control over your company”, Wollocombe said.

Explaining the board’s original decision to replace the investment manager, Wollocombe said: “It is a critical function of an independent board to hold to account the investment manager and, if necessary, replace them.

“This, regrettably, is what happened with Amati where, over a period of time, your board increasingly lost confidence not just in the financial performance of Amati but also in its ability, leadership, resource and lack of vision to resolve its problems.”

The report from independent proxy adviser ISS ahead of the Maven Renovar requisitioned meeting has also recommended shareholders vote in line with the unanimous recommendations of the board.

Wollocombe added: “The board and Maven are firmly of the view that the VCT should continue to invest. This is one of, if not the only key difference between our vision for the future of the VCT and the proposals being put forward by the former manager and other requisitioning shareholders.

“We know that many shareholders do want to remain invested in the VCT. New investments provide an opportunity to generate better returns for those shareholders, but more importantly it does not prevent cash from being returned to other shareholders where possible.”