Bglobal removes chairman and suspends FD
LANCASHIRE smart meter technology firm Bglobal has suspended its chief financial officer Nick Kennedy, hours after shareholders voted to force out his father, the executive chairman Peter Kennedy.
In a statement following a general meeting which confirmed Peter Kennedy’s removal, the company said Nick Kennedy has been suspended with immediate effect “pending an investigation of his conduct”.
London-based asset manager Hawkwood Capital, which holds 9.7% of the shares, joined forces with three directors and other shareholders to oust Peter Kennedy.
Bglobal said 89% of shareholders who voted, other than Peter Kennedy and his family members, backed Mr Kennedy’s removal as a director. Shareholders also backed a plan to bring in Hawkwood partner John Grant as chairman and for the directors to conduct a strategic review of the business.
The review could lead to a sale of some or all of the business and Bglobal said this meant it was now in an offer period under the Takeover Code.
Hawkwood’s action was supported by Bglobal’s chief executive Tim Jackson-Smith and two non-executives, James Newman and Steven Fawkes. They all said a change was required due to a poor financial performance and a muddled strategy.
Mr Kennedy, who remains the firm’s largest single shareholder with around 23%, opposed the moves claiming Bglobal was on the cusp of some big deals with housing associations and local authorities, and that Mr Grant would oversee a fire sale of the business.
He declined to comment on his loss of office when contacted by TheBusinessDesk.com, but said: “What was also carried was a resolution to carry out an independent review of the business and I welcome that and I hope that’s done and it’s done quickly.” He said he hoped to be involved as the company’s largest shareholder.
Shares in Bglobal, which is listed on the Alternative Investment Market, have fallen in value from 63p five years ago to a low of 3.6p but have rallied in recent days to around 7p, valuing the business at around £7m.
