I have emailed the board the following- I am a small shareholder, appreciate the wines and the shareholder discount.
I bought on Aquis before the AIM listing.
"Dear Chairman and board members.
I was surprised at the last RNS announced by the board- with regard to future funding and maybe a sale.
As a shareholder I am fully aware that expansion plans require further capital-maybe through an equity issue or bank borrowings.
I would like to suggest that you consider an issue of convertible preference shares, say at a 5% coupon and an exercise price of say £1.00. I am not saying that these should be the terms, but I would be interested- and I am sure many others would , at buying a convertible preference stock that would give us a return on a further investment with the ability to participate in future added value to the companies share price.
Chapel Down has achieved great things over the last few years, I would be disappointed to see this sold to a 3rd party at a early stage price.
It would be very helpful if the board would make a full announcement explaining the reasons behind the announcement.
I assume since Rothschild has been employed your already spending the companies monies to explore a sale.
Messrs Spence and Wray I appreciate can dictate pretty much the future of the company. It would be good if they considered also the smaller shareholders whom invested, many through Aquis, in an exciting English vineyard with a great future.
I invested to be part of the journey, had hoped we would one day see dividends paid and capital growth."
My email will I understand will make no difference- but it is truly frustrating that a company that was on Aquis, moved to AIM recently and has had loads of great rewards for the wines, just after announced this.
I have made a profit on my shares, get the discount on the wines, but really feel there is so much going for Chapel Down. But maybe the capital expenditure in holding stock as the vineyards increase in size and the new winery are more costly that current shareholders could fund.
A sale sadly I assume will be the outcome.
