Agreed. To be fair, of the 1.96 million shares proposed for a rights issue, 1 million will be held in an escrow for 8 years. (extract pasted below). But, 1 million shares at the face value is unfair enough.
Q: as a retail minority, what can be done to ensure this doesn’t go through as is?
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Other incidental matters
In order to demonstrate good faith on his part, Mr. Ajit Isaac has offered to put 1,000,000 equity shares of Quess, from and out of the shares currently held by him / entities controlled by him into an Escrow. The Escrow Agreement will stipulate that in the event of: (i) Mr. Ajit Isaac ceasing to be a promoter director of Quess, (ii) Mr. Ajit Isaac breaching any of his lawfully incurred obligations to the Company, (iii) Mr. Ajit Isaac breaching any of his lawfully incurred obligations to Quess during the next eight years, the Escrow Shares or the value thereof would be made over to Thomas Cook, subject to compliance with regulatory considerations. However, if the conditions and covenants are met for the defined period of time, i.e. up to 31st March, 2023, the Escrow agent will release those Escrowed Shares to Mr. Ajit Isaac.
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