Guardian Unlimited- Northern Rock’s shareholders are likely to be given a chance to air their views on the state of the ailing bank at an extraordinary meeting next month.
Last night the bank seemed to be failing in its last ditch attempt to deter two hedge funds from demanding a date be set for the meeting. The bank is reluctantly working towards a date of January 15 to satisfy the request, from RAB Capital and SRM Global.
The shareholders, which between them own 16% of Northern Rock, want to amend the bank’s articles of association so that shareholder approval would be required for the sale of more than 5% of its assets.
It is their way of trying to give shareholders more of a say in the future of Northern Rock, which is in talks with two potential bidders – Sir Richard Branson’s Virgin and the Olivant vehicle led by former Abbey National boss Luqman Arnold. It also faces the possibility of nationalisation.
