Business
Further Information regarding
Further Information regarding.
About this update from Aurrigo International Plc
[{"type":"text","content":"\n RNS Number : 0541X Aurora Russia Limited 30 November 2010 \n \n\n30 November 2010\n \nAURORA RUSSIA LIMITED\n \nFurther Information regarding the Notice of AGM\n \nFurther to the announcement released on 28 October 2010 concerning the notice of Aurora Russia Limited's (\"Aurora Russia\" or the \"Company\") Annual General Meeting (\"AGM\") to be held on 3 December 2010, following discussions with shareholders the Board of Aurora Russia sets out below some additional information relating to certain of the proposed resolutions to be put to shareholders at the AGM.\n \nProceeds from realisations\n \nAs previously indicated, the Board will return all of the cash proceeds from realisations of the Company's assets to shareholders, as long as the discount of the Company's share price is more than 20% of the latest published net asset value of the Company. If for a period of six months immediately preceding the sale of an asset the share price discount to the NAV per share is less than 20%, then the Board will have the discretion to make additional investments in line with the strategy of the Company. \n \nThe method by which the proceeds may be returned to shareholders (e.g. payment of dividends, share buy back or tender offer for shares by the Company) will be determined by the Board at the relevant time. The Board intends that proceeds from the realisations will be returned to shareholders no later than the payment of any incentive fee due to the Manager in relation to such asset sale.\n \nIncentivisation arrangements\n \nThe Board indicated in the circular relating to the AGM that it has agreed with the Manager to reduce the management fee from 2.0% to 1.5% of NAV per annum with effect from 31 March 2011 and to put in place a new incentive structure to better align its interests with shareholders, replacing the current option programme for the Manager. The new incentive structure would involve the payment of a performance fee to the Manager, calculated by reference to a percentage of the value of any disposals realised by the Company. It is proposed that, assuming that the Continuation Resolution is passed, the revised incentive arrangements will be put in place after the AGM. \n \nIn the event that any follow on investments are made by the Comp...