Investors battle against 'boardroom coup' at East West

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The Independent Online

East West Resources, the metals and energy trader, has won the backing of one of its largest shareholders against an attempted boardroom coup.

Consolidated General Minerals, which holds 29.9 per cent of East West, has called a meeting to put two of its representatives on the board in place of the existing two non-executive directors. But yesterday Hong Kong-based Sun Hung Kai Financial, a 9.4 per cent stakeholder, said it would vote against the plan.

It said the move would leave Consolidated General controlling half the board, leaving holders of 70 per cent of the shares with "no representation".

Sun Hung asked other shareholders to contact it "so that we can ensure CGM's resolutions are not passed and the value inherent in East West can be unlocked for the benefit of all shareholders."