General Manager David Beeby has spoken to Iron-Bru.com to clear up the confusion regarding the increase in share capital at the club.
An EGM was held in April to allow shareholders to vote on a resolution which would allow directors to issue all unissued shares up to the £2 million share capital limit, previously set out at the AGM in December.
“The position prior to the December AGM was that the share capital of the company was £1m with a small amount of that £1m remaining unissued”, Beeby told Iron-Bru.com
“At the AGM last December the shareholders approved an increase in the authorised share capital of the Company from £1m to £2m.
“This created £1m worth of new shares. It also gave permission for the Directors to issue up to £550,000 shares in a 12 month period.
“At the time it was suggested that £500,000 of those shares would be taken up by Peter Swann and the remaining £50,000 would be available for smaller shareholders.
“At the EGM in April the shareholders passed a resolution that allowed the Directors to issue all unissued shares up to the £2m authorised share capital limit. Meaning that they could issue in excess of £1m worth of shares.”
Beeby confirmed that the reason for doing this was that Peter Swann intended taking up more than the £500,000 worth of shares than he had initially planned.
The current position regarding shareholding is displayed on the main website in accordance with Football League rules, however, this position has changed significantly over recent months & will change again at the next Board meeting.
The information currently listed on the website is as follows, but please be advised that this is subject to further change:
GP Community Sports Ltd – 25.66% – GP Community sports Ltd is owned by J. W. Wharton 51% & J.S. Wharton 49%.
(J. S. Wharton owns a further 3.89% of Scunthorpe United & J. W. Wharton owns a further 3.50%. J. S. Wharton’s daughter A. Birchall owns 1.94%).
P.D. Swann 24.10%.