8th May 2018 11:50
LONDON (Alliance News) - Ranger Direct Lending Fund PLC on Tuesday noted a letter from shareholder and US asset management company Oaktree Capital Management LP, nominating the appointment of two new directors to Ranger's board.
In the letter Oaktree said it was "deeply disappointed" at the fund's board of directors, outlining a series of poor decisions, including the Princeton situation, conducting a strategic review regarded by Oaktree as "flawed and biased", and corporate governance that has led to the "destruction of shareholder value".
In March Ranger Direct said that the Princeton Alternative Income Fund LP and Princeton Alternative Funding LLC filed voluntary petitions of bankruptcy last Friday, after arbitration proceedings following a provisional take over of a loan portfolio.
In April Oaktree wrote to Ranger Direct, stating that it would be in the best interest of shareholders for Ranger Direct to wind down the company and return its capital.
The 19% shareholder has nominated Greg Share, current managing partners of software and financial services-focused investment company Ambina Partners LLC, and Dominic Dolenec, managing partner of investment and advisory firm Emona Capital LLP.
"We strongly believe that the board’s weaknesses can only be resolved by adding to the board and introducing a greater degree of oversight, a broader range of views and a much deeper base of relevant experience at this important strategic time for the company," Oaktree said in the letter.
In response to Oaktree's letter Ranger Direct said that letter was "factually incorrect and misinformed", and also noted that Oaktree and LIM Advisers would propose at the fund's annual general meeting to nominate two new directors and remove the current chairman Christopher Waldron.
"The company views this as further evidence of certain shareholders seeking to impose their own agenda for the future of the company," Ranger Direct said in the statement.
Shares in Ranger Direct Lending Fund were down 0.9% at 778.00 pence on Tuesday.
Related Shares:
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