6 questions asked at 2024 QV Equities scheme meeting
June 28, 2024
Here is the text of the 6 written questions submitted at the QV Equities hybrid scheme meeting held on June 28, 2024, along with a summary of the answers when they weren't ignored. It is being taken over by bigger LIC rival WAM Leaders. Was approved by around 92% on both metrics.
Q1. Looking back over our 10 year history as a listed investment company, what were our 2 best and 2 worst equity investments. Also, we floated at $1 in 2014 after raising $200 million from mainly retail investors, how much did we return in dividends over our decade as a public company?
Answer: not asked.
Q2. Why was scrip chosen as the default option rather than cash and which option are the directors proposing to take. What percentage of cash acceptances was Wilson expecting when the deal was signed and where is it likely to finish?
Answer: chair simply said the split would be announced next week. Listen to audio via Twitter.
Q3. WAM Strategic Value is listed as the second largest QV Equities shareholder with 8% in the 2023 annual report. Was that a relevant factor in the negotiations given it could have been deployed to vote against directors at the AGM. What is the history of that investment and do you know if WAM Strategic Value is proposing to take cash or shares in WAM Leaders. If they take cash, will it have been a profitable out-performing investment?
Answer: the scripted response read out by the chair confirmed that Wilson was actually the largest shareholder and this was material during the negotiations. Listen to audio via Twitter.
Q4. How many shareholders were eligible to vote on today's takeover and how many did so before the proxy voting deadline on Wednesday at 10am? What sort of solicitation campaign did you run to maximise retail shareholder participation in today's vote? Also, will be the webcast be published on your website until at least the implementation date for the benefit of QVE Equities shareholders unable to tune in live online?
Answer: The disappointing scripted response failed to deal with most of the issues raised in this questions. Listen to audio via Twitter.
Q5. Australia is currently in the midst of an unprecedented deluge of takeovers that has contributed to listed entities on the ASX falling by 7% since January 2023, including 16 months straight of declines. The ASX is losing long standing names such as CSR, Boral, Blackmores, Alumina, Coca Cola Amatil, Sydney Airport, Invocare, OZ Minerals, Newcrest Mining, Crown Resorts and Ausnet, which have all disappeared over the past 3 years. And now we're losing QV Equities too!!! Does the chair think this is a problem for the nation?
Answer: not asked.
Q6. Social issues are normally a big driver in merger and takeover negotiations. Why didn't we negotiate for any of our directors to join one of the Wilson boards? Have any agreements been made regarding Wilson taking on any of the staff, executives or directors of QV Equities? If not, why not?
Answer: not asked.
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