Van Elle's (VANL) shares jumped 6 per cent after the ground engineering specialist indicated that underlying pre-tax profit is expected to be up 15 per cent in the half year to 31 October 2017. In addition, trading will again be positively weighted towards the second half.
However, there has been more boardroom drama. A general meeting has been called for 15 December to consider proposals from founder and former non-executive chairman Michael Ellis. Mr Ellis is seeking to elect himself and his son-in-law Thomas Lindup as directors of the company and remove chief executive Jon Fenton and senior independent director Robin Williams as directors of the company. On the day of this most recent announcement Mr Fenton resigned, citing a serious medical matter within his close family.
The board has recommended that shareholders reject all the resolutions, adding that in the board’s opinion the resolutions reflect the failure by Mr Ellis to accept that "Van Elle is no longer his private family business, and that the resolutions serve to promote the interests of Mr Ellis and his family, not necessarily to the benefit of the company and its shareholders".
Mr Ellis founded Van Elle 33 years ago, and took the company through a flotation in October 2016 before retiring from the board on 31 December 2016.
