Bell Potter LIC Weekly: Lanyon Targets “Fundamentally Flawed” LIC

By William Gormly | More Articles by William Gormly

Lanyon targets “fundamentally flawed” LIC

Adelaide-based Lanyon Asset Management has taken aim at Contango Income Generator Limited (CIE), labelling the investment strategy as “fundamentally flawed” whilst stating that the “investment performance has been abysmal” in an investment thesis posted on its website. Lanyon become a substantial holder in CIE on 9 June 2020 and has outlined a proposal to have CIE hold a general meeting where Lanyon seeks to replace 2 existing Directors. Replacing them would be Mr. Ken Williams, who will serve as Chairman, and Mr. David Prescott, Lanyon Managing Director and Portfolio Manager. Lanyon would then seek to terminate CIE’s investment management agreement (IMA) with Contango Funds Management Limited (CGA) and replace it with Lanyon.

Pengana Private Equity eyes $68m raise

After withdrawing an Entitlement Offer seeking to raise up to $473.2m at a unit price of $1.37 in March due to the inability to conduct an orderly process with the level of market volatility being experienced, Pengana Private Equity Trust (PE1) has returned with non-renounceable rights offer.

WHF announces $45m SPP

The oldest LIC, Whitefield Limited (WHF), has announced the terms to a share purchase plane (SPP) that will allow each eligible WHF shareholder the ability to acquire up to $30k of shares in the Company. The price is to be set at either $4.51 or an amount equal to a 2.5% discount to the VWAP of WHF over the five trading days up to 3 July 2020, rounded down to the nearest cent.

For full details refer to the detailed report below or click here to download your copy.

William Gormly

About William Gormly

William Gormly is an ETF/LIC Specialist at Bell Potter Securities. Will provides comprehensive coverage of the ETF and LIC sectors, producing a range of highly regarded reports covering investment fundamentals, asset class structure and cost, and the role of managed investments in portfolios.

View more articles by William Gormly →