DFOB Converts Loan Stock in to Equity
UK - The Board of Dairy Farmers of Britain (DFOB) recently voted to support the creation of the “A Ordinary” Shares and the subsequent conversion of member investments into shares.
2 April 2009
1 minute read
DFOB says that this conversion strengthens the balance sheet of DFB by moving the liability of some £55m of member debt into equity shares.
There has however been no conversion of loan stock in to the same, “A Ordinary” shares. Three of the issues of loan stock, (2012, 2014 and 2015), were “in-quorate” (i.e. insufficient votes were cast), the 2016 and 2017 loan stocks voted against the conversion, whilst the 2018 loan stockholders in attendance voted to adjourn the meeting.
The Board remains convinced that the conversion of loan stock in to equity remains in the best strategic interest of the business and all its stakeholders and intends to contact all loan stockholders again in the near future with further information and to outline its intention to hold another vote in due course.
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