There could be fireworks at Reffind’s AGM today
The Reffind AGM today could be a fiery one if shareholders’ anger on- and offline is any indication.
They’ve been venting in online forums and calling directors – even former CEO Tim Lea, who quit in September, chairman David Jackson told Stockhead.
Furthermore, the AGM will deviate from the script sent out in October, because director Nicholas Diamond is resigning ahead of the meeting.
Eugene Loy, from Dalcouth Ventures in Singapore, bought 5.2 per cent of the company last week for $400,000 and Mr Jackson hopes to bring him onto the board instead.
Mr Jackson wouldn’t be drawn on the exact contents of the calls but said the concerns related to “some of the directors’ connections to previous companies” and their friends on boards of other companies.
The current board consists of Mr Jackson, Nick Diamond, and company secretary Robert Lees who stepped in when their third board member, Anthony Dunlop, resigned in September.
Mr Dunlop resigned weeks after news began circulating that he had suddenly relocated with his family to Malaysia.
Mr Dunlop has not responded to calls or texts since the start of September.
The anger online has been directed at Mr Diamond who was appointed to the board by Mr Dunlop, then a director of struggling tech investor Chapmans (ASX:CHP).
Chapmans was a major shareholder in Reffind, but dumped the stock in May.
Mr Diamond told Stockhead he would be resigning from the Reffind board on Friday night.
Online anger has also been directed at Mr Lees, who is also the Chapmans company secretary.
“The only relationship I have with Chapmans is they asked my to do some company secretarial services for them in May, which I am doing, which is a fairly limited assignment,” he told Stockhead. ”
“I don’t know the directors personally. I know Anthony Dunlop because he became a director of Reffind two years ago. That’s the limit of what I know about them.”
He says he doesn’t get involved at a decision-making level in any company he works for, except for with Reffind when he had to step in hurriedly to fill a board spot.
Mr Jackson insists that investors who have gripes should go to the AGM and “help run the company”.
He was very excited on Friday having secured for Reffind a new substantial shareholder in Mr Loy.
Reffind, he says, is about to turn a corner.
The board are planning to recapitalise the company, suggesting a capital raising is imminent.
Reffind had but $1m left in the bank at the end of September and planned to spend only $261,000 this quarter. Full year revenue for 2018 plunged 62 per cent and its flagship Wooboard product made less money for the company in 2018 than in 2017.
Mr Jackson says with Mr Loy on board they are planning a push into Asia with rewards business Loyyal, which they bought a stake in and the rights to a licence last year.