Ricegrowers Ltd. Class B · ASX:SGLLV
Ricegrowers Ltd. Class B — SunRice — Shareholder Meeting (August 2012)
12 slides from Ricegrowers Ltd. Class B's shareholder meeting presentation, Aug 24, 2012
Slide 1: 2012 SunRice Annual General Meeting Capital Structure Review
2012 SunRice Annual General Meeting Capital Structure Review GERRY LAWSON AM Chairman 24 August 2012
Slide 2: Objectives on our conversion to a company
Objectives on our conversion to a company • Provide security with regard to the paddy price; • Maintain co-operative principles by aligning production, ownership and control; • Provide a permanent capital base; • Enable growers who were retiring from rice growing to retain an ongoing financial inter
Slide 3: Changing SunRice ownership
Changing SunRice ownership • A Class shareholders are not necessarily commercial growers. • It appears some shareholders may be acquiring a large stake in the company by obtaining B Class shares at a discounted value. • It appears some shareholders may be positioning themselves with multiple A Class
Slide 4: Other issues for consideration
Other issues for consideration • B Class shares are heavily restricted – ownership, voting and maximum holdings - which results in illiquidity and the price not reflecting the underlying value. • SunRice has limited capacity to raise capital to reduce debt and invest in the business. • While retirin
Slide 5: What are we trying to achieve?
What are we trying to achieve? • The review will focus on four fundamental deliverables: – Maintaining a secure supply of Australian rice at a competitive price, while providing greater transparency around paddy pricing. – Achieving a realistic market value for B Class Shares. – Ensuring financial c
Slide 6: The Review's Terms of Reference
The Review’s Terms of Reference • Board Committees have been established to consider: – Share structure; – Board structure; and – Grower services and paddy procurement. • While the review is underway: – New shares will not be issued - A or B Class. – B Class shares can still be bought and sold on th
Slide 7: Share Structure Review
Share Structure Review • The share structure review will seek to balance our four fundamental objectives, while considering: – A Class shareholder aspirations and issues; – B Class shareholder aspirations and issues, across the grower, employee and investor-shareholder base; and – The short, medium
Slide 8: Board Structure Review
Board Structure Review • The review will consider the preferred Board structure going forward to underpin SunRice’s growth, including: – The number of Directors; – The mix of grower and business-based/finance skills; and – Directors’ duties and fees. 8
Slide 9: Grower Services and Paddy Procurement Charter
Grower Services and Paddy Procurement Charter • A formal charter will be developed that provides increased transparency to ensure: – Certainty for growers and investors that they are being treated fairly. – The procurement of Australian rice. • A range of elements will be considered, including: – A
Slide 10: Consultation
Consultation • The Board will consult widely and any proposed changes will be guided and shaped by your input, before being considered by shareholders. • All shareholders will be provided with opportunities to contribute and give feedback, starting in the coming months. • Updates will be provided an
Slide 11: Conclusion
Conclusion • SunRice has great potential and with full production, now is the time to come together and position our company strongly for the future. • This is an opportunity for shareholders to: – Consider the issues that face SunRice today; and – Have a say in the future of the company. • We encou
Slide 12: Questions
Questions The Rice Food Experts