Gooderson Leisure draws ire of dissenting shareholder
Struggle continues for Albie
The frustration in exercising appraisal rights for minority shareholders has been highlighted in the proposed delisting of boutique hotel group Gooderson Leisure from the JSE. Last year Gooderson managed to buy out minorities with an 85c/share offer — but feisty small shareholder Albie Cilliers refused to capitulate and opted to exercise his appraisal rights. Technically speaking, section 164 of the Companies Act gives minority shareholders an option in the form of an appraisal right to force the company to buy back shares at a fair value — even if most shareholders have approved a transaction like an empowerment deal, a takeover or a management buyout. Cilliers is already involved in another appraisal rights battle with Niveus and its former subsidiary, KWV Holdings, following a takeover transaction involving Viv Imerman’s Vasari. His exercising of his appraisal rights is premised on Gooderson paying him out value for his 460,000 shares. In a circular detailing the minority offer s...
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