An extraordinary general meeting of EC-Hold shareholders was adjourned this morning to allow certain discussions to continue.
The meeting was requisitioned by minorities Cycad Financial Holdings and Peregrine, which together own about 6.5% of EC-Hold.
The meeting was to allow minority shareholders to vote on the proposed appointment of PricewaterhouseCoopers to conduct a forensic audit and investigation, the disclosure of the rationale and details of an investment with parent MGX Holdings, and the particulars of dealings between EC-Hold and MGX during the period between 11 October 1999 and 27 June 2003.
Other resolutions include a proposal for future proceedings by EC-Hold against MGX and a proposal for future proceedings by EC-Hold against current and former EC-Hold directors relative to any investment of surplus funds with MGX.
The core issue is a R11.9 million loan EC-Hold made to MGX. The EC-Hold board has said previously that the requisitioning shareholders have not adequately considered the loan account relationships between MGX and EC-Hold.
Cycad CEO Leonard Fine told the meeting that the requisitioning shareholders were in talks with other shareholders. He requested that the meeting be adjourned in the light of those discussions.
The meeting was rescheduled for the morning of 15 September.
EC-Hold warned last month that it is expecting to report a loss for the year to end-June.
Related story:
EC-Hold shareholders to vote on forensic audit
Share
