NAMOI Cotton Co-operative grower members and capital stockholders have overwhelmingly approved the proposed restructure of Namoi Cotton from a cooperative to an ASX listed public company.
The new entity will have a single class of quoted ordinary shares for grower members and capital stockholders and will be named Namoi Cotton Limited.
Announcing the results of three postal ballots, Namoi Cotton chairman, Stuart Boydell, said the majority of grower members voted strongly and overwhelmingly in favour of the proposed restructure by the required majorities in the postal ballots.
Namoi capital stockholders also voted strongly in favour of the proposed restructure by the required majorities.
“The emphatic support for the proposed restructure by our grower members and Namoi capital stockholders is a critical step in strengthening and repositioning Namoi Cotton’s business for the longer-term future,” Mr Boydell said.
“The restructure represents a compelling value proposition for all of our stakeholders and we would like to thank our stakeholders for voting in favour of what is proposed. The alignment of our primary capital stakeholders we believe
provides a strong and competitive edge for the Namoi Cotton business to further grow and prosper.”
Namoi Cotton confirmed final implementation of the proposed restructure remains subject to various conditions, including approval of the NSW Supreme Court which is scheduled to be heard on 3 October, 2017.
The Effective Date, subject to court approval is 10 October 2017 at which time Namoi Cotton will become registered as a public company with ordinary shares trading on an ordinary settlement basis from 11 October 2017.
Namoi Cotton chief executive officer, Jeremy Callachor, said, it was a wonderful result and showed the support from grower members and Namoi capital stockholders for the future strategic direction of Namoi Cotton.
“The proposed restructure, associated capital raising, business outlook and opportunities that have been identified we hope will ultimately vindicate the support that has been provided from our stakeholders,” he said.
“Namoi Cotton looks forward to approval from the NSW Supreme Court and transitioning into life as a publicly listed company and working with our grower base on continuing to provide the industry leading services and products over the course of the coming grain harvest, 2018 cotton crop and beyond.”
Namoi Cotton has advised that further market communication regarding the proposed restructure and associated capital raising would be provided following the court hearing.
Source: Namoi Cotton
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