Yoda
Try this ?
All announcements say existing IMA already transferred-in fact CGA say "don't ring us. We know nothing"?
$2m paid last Fri?
If shareholders don' t approve new IMA, a further $4.7m paid to CGA over period to 6/ 21 - end of current IMA - ie $1.25m per annum, or say 60 per cent of the current fee rate. So NAOS does Mgt for 50 bp. CGA gets $4.7 for doing nothing
( is there a risk that current Directors and NAOS appointees would try to terminate in 20 months? -- No )
If shareholders approve new IMA - immediate payt to CGA of $3m ( now bolstered cash bank by $5m - another year of life ? )
And $7.5m over ? years. Depends on the length of new IMA ?
Let's say 5 years- $2.5m pa to CGA Nothing to NAOS except new growth over $50m, particularly after the amazing decrease by NAOS in fees of 10 bp. And the prev Bosrd had achieved a" substantial" reduction for a second manager
Does. the add up? For some parties. But CTN could have said " NO. You say you can't deliver, and you want to ( have to )'concentrate on large and mid caps. Ok we will take it back on 1 Dec We will select after due diligence and at lower rates, new competent managers Please shut the door on the way out"
DYOR
CGA Price at posting:
73.0¢ Sentiment: None Disclosure: Not Held
