Yellow Pages United Kingdom Listing for 2014 Today
25 Mar 2014 - 12:41am
Bob Wigley was beaming as he rubbed shoulders with George Osborne at a personal briefing hosted by the Chancellor in Westminster following last month's autumn statement. The former chairman of investment bank Merrill Lynch in Europe was content to reveal his encounter while he mixed with top business figures.
His behaviour was contrary to what had occurred a day before in Reading's Madejski Stadium.
Angry shareholders needed to quiz Mr Wigley after being left with nothing-when shares in debt-load hibu were suspended in July 2013 as lenders assumed control in a GBP1.5bn debt-for-equity swap. This is a business that as lately as 2007 was worth GBP5bn and in the FTSE 100, before its debt load as well as the rise of the net devastated the enterprise. Really it was a firm that Mr Wigley himself helped to float in a GBP2bn listing in 2003, when big fees were gathered by him as Merrill Lynch's lead banker.
If you liked this article therefore you would like to collect more info with regards to yellow pages united i implore you to visit the web site. "As a major investor in the company's shares myself, I will be as disappointed as you," he wrote.
But his message was the lenders were going to dominate. He'd stick around only for them to complete the restructuring, due this spring. There is nothing more he or fellow board members needed to say about their activities. The dissident shareholders, that have formed the Hibu Shareholders Group, were angered and remain thus - perhaps not least because the parent organization, that they owned, may have collapsed yet its subsidiary company, now possessed by lenders, continue to trade.
The action group admits Hibu was in a wreck before Mr Wigley joined last year when it had been crippled with a debt-fuelled acquisition spree. Yet they still have several questions, mainly about whether the board did enough to protect its interests between Oct 2012, when Hibu stated it was suspending its own collapse in July 2013, and loan repayments.
Through that period, even while the shares were being traded, vulture funds purchased up the debt on the inexpensive, going for a major position in the shortly-to-be re-structured company, unlike the true stockholders.
Finding out info has been tough because Hibu did maybe not publish an annual report for the year to March 2013. However, signs are now issuing that offer showing details about the connection with subsidiary organizations and soaring pay for senior management.
The Independent has discovered accounts for Yellow Pages Limited, the most significant UK subsidiary company, which have merely been filed to Businesses House. These present "key management settlement" jumped 70 per cent to GBP6.5m in the year to March 2013.
Meanwhile, the motion group has obtained a letter to Mr Wigley, dated October 2013, verifying he got a GBP120,000-a-year salary hike and GBP10,000 "car allowance" even after the firm collapsed. He's obtaining the gain before the end of the re-structuring - on the top of his existing wages of GBP264,000. It signifies his pay is the equivalent of almost GBP400,000 a yr.
Additionally, the job contracts for chief executive Mike Pocock and chief economic officer Tony Bates reveal their occupation was altered from your parent to a subsidiary company, Hibu (Britain), in October 2012 - that critical date nine months ahead of the collapse. Barry Dearing, lawyer for the motion group, described the shift as "quite odd" in the light of the reality that the subsidiary company has held trading.
Those close to hibu insisted All-British employees, and not only the managers, had their job shifted to Hibu (UK) then. They admit the stockmarket was not enlightened but point out there was certainly no obligation to take action. The hibu team additionally insisted the 70 per cent pay boost had not been on a "like-for-like" basis as the number of senior management changed. Mr Wigley deserved his increase because his function necessitated significantly more function, adds a business source. In addition, he chairs software retailer Expansys and headhunters Stonehaven Research and contains a function at Cranfield School of Management, advising on corporate social responsibility.
Big reputations stay at stake. Now Hibu is in the law firm, Deloitte as well as management Linklaters are choosing up costs.
Yesterday, at a courtroom hearing in the City, a date of 1 9 February was establish for creditors - mainly the lenders - to discuss the firm's valuable Spanish and US companies. "Shareholders who've had their investment taken away from their website aren't being informed anything," promises Mr Dearing, who previously informed investors in collapsed doorsill lender Cattles and won GBP16m settlement. "we're nonetheless being kept in the dark."