Ballot on removing McInerney board

McINERNEY HOLDINGS plc shareholders will be given the opportunity to vote for a proposal put forward by rebel shareholder, Peter Nabarro, to remove the company’s board at a meeting next month.

The troubled house-building group is waiting for the Supreme Court to rule on a rescue bid for its Irish business, backed by US investor, Oaktree Capital. Its British and Spanish operations have been sold and the proceeds used to pay creditors.

Mr Nabarro, who acquired 21.45 per cent of the group’s parent, McInerney plc, in May, wants to sack the listed company’s board and is proposing replacing it with himself and two colleagues.

He has formally asked the company to call an egm to give shareholders an opportunity to vote on this motion. He confirmed yesterday the company had told him it would hold the egm on August 17th, and was planning to issue a formal notice of this shortly.

McInerney Holdings plc has called a separate egm for July 29th at which it will ask shareholders to place the company in liquidation. Chairman Ned Sullivan told shareholders in a letter last week the board and its advisers believed this was the best course of action.

Mr Sullivan’s letter said the directors had exhausted all possible options to rescue the group.

The move will not affect the Supreme Court process.