20th Jan 2015 07:54
LONDON (Alliance News) - Rangers International Football Club PLC on Tuesday said Sandy Easdale has increased his stake in the club, as it prepares for a potential shareholder vote on a proposed overhaul of its board.
Easdale on Monday acquired 1 million further shares in the club, giving him a total shareholding in the club of 5.3 million shares, or 6.5% of its issued share capital. Easdale also holds voting rights over, but does not own, a further 16 million shares in the club, meaning he holds voting rights over a total of 21.3 million shares, or 26.1% of its issued share capital.
The move by Easdale to increase his shareholding comes a day after another shareholder, Dave King, called for a general meeting to vote on his proposal to remove and replace the entire Rangers board.
King has called for Chairman David Somers, Chief Executive Derek Llambias, Finance Director Barry Leach and Non-Executive Director James Easdale, the brother of Sandy, to step down. He has proposed they would be replaced by himself, former club director Paul Murray and former Rangers Supporters Trust vice-chairman John Gilligan.
King holds 14.6% of Rangers shares.
Rangers said it is currently in the process of verifying whether the notice issued by King is valid. Even if found to be valid, the club said it will seek to have the notice withdrawn "in order to avoid the cost and disruption of an ad hoc general meeting". Should it fail to have the notice withdrawn, the board is recommending shareholders vote against the proposals.
King's move has opened up a battle for control at the club, pitting King and the Three Bears consortium of investors, comprising Douglas Park, George Taylor and George Letham, against Mike Ashley, the Sports Direct International PLC founder and owner of Newcastle United FC. Ashley has increased his influence over the club substantially since providing the club with GBP3 million in loans last year and holding 8.92% of its shares.
Llambias and Leach are both long-time associates of Ashley. Llambias is the former managing director of Newcastle United FC, which is also owned by Ashley, while Leach is the former finance director at Sports Direct. Both were appointed after Ashley used the provision of loans to the club to force out its former CEO and executive director.
Both appointments were seen as part of the push by Ashley to increase his influence over the club. Easdale and Somers are not considered direct proxies for Ashley, but both are considered to be in Ashley's corner.
By Sam Unsted; [email protected]; @SamUAtAlliance
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