Business
Concerned Shareholders Provide Update on Recent Aberdeen Private Placement and Change of Control Payments
Votes from shares issued in Aberdeen's recent highly dilutive and value destructive priv...
About this update from Aberdeen International Inc.
[{"type":"text","content":"\n\n\nVotes from shares issued in Aberdeen's recent highly dilutive and value destructive private placement will be segregated for the upcoming shareholder meeting \nNo change of control payments will be made if the incumbent board is replaced at the upcoming shareholder meeting (until court proceedings continue) \nShareholders need to vote now to prevent further acts designed to permanently entrench insiders and transfer value away from existing shareholders \n\n\nTORONTO, Jan. 21, 2015 /CNW/ - Today, funds controlled by Meson Capital Partners LLC (\"Meson Capital\") and Nightscape Capital (UK) LLP (\"Nightscape Capital\") that hold shares representing approximately 9% of the issued and outstanding shares of Aberdeen International Inc. (TSX:AAB) (\"Aberdeen\" or the \"Company\") urge shareholders to vote your GOLD proxy to put an end to value destructive transactions designed primarily to entrench the Stan Bharti controlled board of Aberdeen.  \n\nThe Stan Bharti controlled board of Aberdeen has a history of grants to, and transactions with, insiders designed to entrench insider interests at the expense of Aberdeen shareholders.  Today, the Concerned Shareholders won the right for all shareholders to vote to put a stop to this culture of entrenchment.  \n\n\nVotes from Highly Dilutive and Value Destructive Private Placement to Be Segregated. In November 2014 Aberdeen completed a private placement of 10 million shares and a further 10 million warrants to insiders and related parties (\"Placement\").  The Placement diluted Aberdeen shareholders by up to 23% and resulted in value transfer from Aberdeen shareholders to insiders and related parties equal to 21% of the current Aberdeen share price.  The Placement was completed despite Aberdeen having received a superior and significantly less dilutive alternative offer.  The Concerned Shareholders believe the purpose of the Placement was to entrench Aberdeen insiders by putting up to 20 million shares in Stan Bharti-friendly hands.  In January 2015, the Concerned Shareholders commenced court proceedings to have the Placement set aside.  As part of those court proceedings it has been agreed that all votes associated with Placement shares will be segregated for the purposes of the upcoming meeting.  The court proceedings continue. ...