Michael Ashcroft has launched a requisition bid for a general meeting at data and marketing services provider Jaywing (LON: JWNG), while Ian Rosenblatt has done the same at RBG Holdings (LON: RBGP), which owns the eponymous legal firm.
Michale Ashcroft wants Jaywing to leave AIM by 1 March 2025. He owns 29.5% of Jaywing and Lombard Odier is the next biggest shareholder with 18.9%. The directors own less than 6%.
DSC Investment, which is associated with Michael Ashcroft, and Lombard Odier have jointly lent £11.9m to Jaywing. Net debt was £14.8m at the end of September 2024, which was before the latest £1.1m increase in the facility. A general meeting date will be announced.
Performance has been poor. Jaywing recently announced interim revenues falling 15% to £9.45m. The loss increased to £2.54m. The main decline was in UK consulting. Cost savings and new business wins mean that the second half should be much better. Cash is tight, but there should be an improvement in cash generation.
Leaving AIM would save money. The share price has fallen 61% so far this year.
RBG
Legal services provider RBG Holdings got into financial problems, and it has closed its litigation funding operation and sold an M&A advisory business. This leaves the AIM-quoted company focused on the core legal firms of Rosenblatt and Memery Crystal.
In July 2023, Ian Rosenblatt was appointed to the board as executive vice chair. He was described as the largest individual revenue generator for the group. He is also the largest shareholder with 25.2%.
Ian Rosenblatt wants to remove chief executive Jon Divers and two non-execs. A new chief executive would then be appointed as well as a new non-exec.
Jon Divers became chief executive in March 2023 and Tania MacLeod joined the board at the same time. She left the board in October 2024 but remains with the company.
RBG Holdings is still suffering from delays in projects and Singer has withdrawn forecasts. There was an interim loss of £2.8m. The full year outcome will be below previous expectations. The £24m of debt facilities were fully used.
The share price is 2.85p and it has fallen by three-quarters this year, but it is one-third higher since the Budget.