XCM.PR.A: Reorganization Plan Defeated


Commerce Split Corp. has announced:

Commerce Split Corp. (the “Company”) held a meeting today, Thursday February 5, 2009 to vote on the special resolution of the proposed reorganization of the Company. The vote has not been carried, and therefore the proposed capital reorganization will not be implemented. Management thanks all shareholders for considering the proposed reorganization.

PrefBlog had recommended defeat of the proposal, on the grounds Preferred Shareholders were giving a gift to the wiped-out capital unitholders. NAVPU was 9.05 as of January 30, according to the company.

XCM.PR.A is not tracked by HIMIPref™.

3 Responses to “XCM.PR.A: Reorganization Plan Defeated”

  1. franceal says:

    Company issued a pressed release last night advising the dividend on the preferred shares have been suspended to preserve cash and allow the NAV to return to the $10.00.

  2. […] XCM.PR.A is not tracked by HIMIPref™. It was last mentioned on PrefBlog when the preferred-shareholder-hostile reorganization plan was defeated. […]

  3. […] Huh. Providing no value – indeed, taking away value – for the preferred shareholders didn’t seem to stop their last proposal from coming to vote. […]

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