Business
Circular and Notice of General Meeting
Circular and Notice of General Meeting.
About this update from Caledonia Investments Plc
[{"type":"text","content":"\n\nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION\n \n26 November 2024\n \nPublication of Circular and Notice of General Meeting\n \nCaledonia Investments plc (\"Caledonia\" or \"the Company\") announces a proposal to refresh the Company's existing authority to make market purchases of Ordinary Shares and at the same time seek approval from Independent Shareholders of a waiver of the mandatory offer requirements set out in the Takeover Code that may otherwise apply to the Concert Party (as defined below), which does not include a cap on the percentage of the Ordinary Shares that the Concert Party can hold following the exercise by the Company of the new Authority to Make Market Purchases.\n \nThe following documents will today be posted or otherwise made available to shareholders:\n \n· a circular containing a notice of a general meeting (the \"General Meeting\") to be held at Cayzer House, 30 Buckingham Gate, London SW1E 6NN at 2.00pm on 18 December 2024 and outlining further information on the proposals (the \"Circular\"); and\n· a form of proxy (the \"Proxy\").\n \nBackground to the Proposals\n \nThe Company's aim is to generate long-term compounding real returns that outperform inflation by 3 per cent. to 6 per cent. over the medium to long term, and the FTSE All-Share index over 10 years. Whilst the Company's approach has delivered long-term real returns with an average NAVTR of 9.6 per cent. per annum over the 10 years to 30 September 2024, the investment trust sector continues to face a number of headwinds which have weighed on the share price performance of trusts across the market, including the Company's. As at 31 October 2024, the Ordinary Shares traded in the market at a 39.4 per cent. discount to the Net Asset Value per Ordinary Share. The Board believes the Company's share price undervalues the Company's high quality and diverse portfolio, its long-term track record and its future prospects.\n \nAddressing the discount is a priority for the Board and the Company's management team. Alongside continuing to deliver long-term real returns, to help ensure the Company's investment proposition is recognised by the market, over the past year the Company has improved disclosure, expanded press engagement, revitalised its approach to investor relatio...