SME Credit Realisation fund board re-elected despite ‘material opposition’
More than a third of shareholders have opposed the reappointment of each of the directors of the SME Credit Realisation Fund’s board.
The fund – previously set up to back loans on the Funding Circle peer-to-peer lending platform – is in the process of being closed but voting results from its latest annual general meeting this week suggests some investor concerns.
All five board members had enough votes to be re-elected but 42 per cent opposed the re-appointment of chair Richard Boleat.
Read more: Funding Circle investment trust secures backing for closure
Non-executive directors Jonathan Bridel, Richard Burwood and Frederic Hervouet each received 37 per cent of votes against their re-election.
Sachin Patel, who is Funding Circle’s chief capital officer and also a non-executive director at the fund was opposed by 41.9 per cent of voters.
A stock market update said the board “notes the material votes against the annual reappointment of the directors” and will liaise with the relevant shareholders to discuss their concerns.
The fund launched in 2015 but announced it was due to close in April 2019 after being hit by hedging fees and the impact of International Financial Reporting Standards (IFRS) requirements.
It is currently trading on a discount to net asset value of 29 per cent.
Read more: Funding Circle fund to return £16m to investors
