Mason Capital To Appeal Telus Court Rulings

Oct 18 2012 | 4:22am ET

In the latest round of a battle between Mason Capital Management and the Canadian telecom Telus, the New York-based hedge fund says it will appeal decisions in favor of Telus issued Monday by the British Columbia Supreme Court.

The hedge fund, which, through a variety of long and short positions has a 19% stake in Telus, objects to the company’s plan to collapse its shares into a single class.

Telus said that, following Monday’s court decision, it would go ahead with a joint shareholder meeting this week to vote on the share consolidation proposal and Mason’s related resolutions.

Telus also says the court agreed that to succeed, the proposal required a simple majority of its common shareholders and two-thirds non-voting share class.

Mason disagrees and says a simple majority vote by the voting shareholders on the conversion plan is less than the law and Telus’ governing rules require.

The hedge fund also says shareholders need more time and information to vote responsibly.

"We believe it is critical that the owners of the voting shares have the opportunity to vote on a binding change to the company's articles to establish an appropriate minimum premium to be paid in a dual class collapse transaction," the hedge fund said in an earlier statement. "Mason will continue to oppose the actions of Telus aimed at unfairly taking value from the voting shareholders and transferring it to the non-voting shareholders, which include Telus' board of directors and executive management team, at a 1-for-1 exchange ratio."


In Depth

Why Ponzi Schemes Work: An In-Depth Look At The Allen Stanford Fraud

Dec 21 2014 | 10:30am ET

Texan Allen Stanford first appeared on the radars of financial regulators in 1997...

Lifestyle

Hedgie Funds US Squash Program

Dec 24 2014 | 8:46am ET

Squash, anyone?

Guest Contributor

EidoSearch’s Top Three Market Projections For 2015

Dec 23 2014 | 4:03am ET

It is that time of year again when prognosticators make their big market calls for...

 

Sponsored Content

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

December 2014 Cover

Futures 2014 person of the year

Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.