Amigo Holdings PLC (lon:amgo)
Amigo - The Board 1 – 0 Richmond Group

Amigo Holdings PLC Share Price
Grade:The Pink Grade - A Pure Slightly Informed Gamble, The Market Doesn't Like The Company But I Think That I Understand Why.
Title: Amigo - The Board 1 – 0 Richmond Group
Company: AMGO - Amigo Holdings PLC
Share Price Then: 19.5p
Author: Ian Smith
Date: Fri 05 Jun 2020
Comments: The board has managed to use the Relationship Agreement to block Richmond Group voting them off the board.

Depending upon which side you are on this is a victory for the small share holder who will not be made irrelevant by Richmond’s large share holding or a disaster as it will allow the current board to “give away the company and keep the gravy train running for them”

So who are the 40% of share holders that will vote? There seems to be a handful investment funds that own about 30% of the company so really the decision is down to a very small number of people not investing their own money.

I would be surprised to see them vote to keep the board on unless a substantially better offer for the company is made before the EGM, it is hard to see a worse offer and if the FCA investigation worries them they as still not going to lose much more than they already have.
Read Count/ID: 132/11141

Buy/No Buy In A Nutshell
NegativesA combination of making risky loans and an unwillingness to tell complainants and regulators that the borrower and guarantor has the majority of the responsibility as they asked for and accepted the loan
PositivesNew management could get much more aggressive with people complaining that they asked for and were given loans but they can't afford them.
Initial Review Price7p
Last Review Price13.26p
Last Review Date02-Sep-2020
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