LONDON (Alliance News) - New World Oil & Gas PLC said Tuesday it is recommending shareholders vote against the appointment of an independent director to the board at its reconvened general meeting.
New World Oil said it is recommending shareholders vote against the resolution to appoint Gary Bullivant as an independent director at the company's annual general meeting on November 4. Bullivant was the co-founder of a shareholder group that has ousted much of the company's management while it shifted focus away from the resource sector.
The resolution to appoint Bullivant was submitted by a shareholder to provide extra scrutiny to the proposed reverse takeover of Big Sofa Ltd, a company which started out as a marketing consultancy firm before developing into its current state as a technology services company focused on video and image analytics.
However the reverse takeover has since fallen through, over concerns about a "legacy matter" which New World Oil said may have a material impact on its financial condition. New World Oil notes it has made GBP600,000 in loans to Big Sofa which are now re-payable on demand, and said it is considering its options.
New World Oil shares are currently suspended on AIM and are due to be cancelled with effect from November 9 unless the company can conclude a transaction.
By Adam Clark; adamclark@alliancenews.com
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