Guinness Peat's plans to hand back cash face a final hurdle
Guinness Peat must mount one last corporate battle as the Pensions Regulator threw a potential spanner in the works of plans to shrink the one-time activist investor and return cash to backers.
Famous for the break-up of conglomerates such as Staveley and Inchcape, GPG has been selling assets, and plans to rebrand as Coats, the threads business that has become its focus.
But the regulator is reviewing whether the £124m set aside from its estimated £390m cash pile to fund several pension schemes is enough, given a £281m reported shortfall. It could force GPG, whose combative Kiwi chairman Sir Ron Brierley retired three years ago, to pour in more cash by issuing little-used financial support directions (FSDs).
To do this, the regulator must show it is "reasonable to exercise its moral hazard powers," GPG chairman Rob Campbell told investors at the company's AGM in Auckland. Mr Campbell conceded any additional cost could be "substantial" but believes the likelihood of FSDs is "remote". Coats' threads are found in clothing, car airbags and teabags.
- 1 Jeremy Clarkson 'does not see a problem' with his racist language on Top Gear, says BBC
- 2 Richard Dawkins on babies with Down Syndrome: 'Abort it and try again – it would be immoral to bring it into the world'
- 3 ALS ice bucket challenge co-founder Corey Griffin drowns, aged 27
- 4 A third of employers never check job applicants' qualifications, survey finds
- 5 James Foley beheading: Fox news presenter Megyn Kelly annoyed by Ferguson update during broadcast about murdered journalist
Richard Dawkins on babies with Down Syndrome: 'Abort it and try again – it would be immoral to bring it into the world'
Scottish independence: English people overwhelmingly want Scotland to stay in the UK
Isis threat: Cameron wants an alliance with Iran
Michael Brown shooting: Chaos erupts on the streets of Ferguson after autopsy shows teenager was shot six times – twice in the head
Bin bag full of cats' heads discovered near Manchester's Curry Mile
Disgusting, frustrating, but intriguing: how the country really feels about its politicians
iJobs Money & Business
£25000 - £35000 per annum: Harrington Starr: Junior Quant Analyst - C++, Boost...
£25000 - £35000 per annum: Harrington Starr: Service Desk Analyst- (Desktop Su...
£30000 - £50000 per annum: Harrington Starr: Junior Quant Analyst (Machine Lea...
£45000 - £55000 per annum: Harrington Starr: UNIX Application Support Analyst-...