In a vote proposed by Benamor’s Richmond Group Ltd vehicle, investors in the guarantor loans company also rejected the proposed removal of chief financial officer Nayan Kisnadwala and chairman Roger Lovering.
On the decision to appoint Benamor as a director, 42.76% voted in favour and 57.24% against.
Kisnadwala’s removal was rejected by 58.03% to 41.97% votes, with a similar result for Lovering.
Richmond Group’s proposal to install former boss Glen Crawford, plus three other directors, each saw votes of more than 58% against.
The board said in a statement that it noted that “a not insignificant minority of shareholders did not support the board’s recommendation that shareholders vote against all the resolutions”.
“The board is committed to its current governance structure and strategy, to delivering value for all shareholders and to ensuring an effective dialogue with shareholders going forward and will continue to engage with shareholders to understand their views.”
Benamor said on Twitter: “In July shareholders backed the board 9-1. Today they held on to their jobs by a few %.
“Whilst we didn’t win, shareholders have sent a strong message today. ‘Protect shareholder interests, cut costs, rebuild value fast, or you will be replaced with a capable team.'”
Lovering earlier announced that proposed CEO Gary Jennison will take up the role with immediate effect following confirmation from the Financial Conduct Authority that he can assume the functions of the role pending consideration of his full application for authorisation.
There is no one I would have trusted to run Amigo better than Glen and I. But Gary has been voted in by a (slim) majority of shareholders today.
We should give him the benefit of the doubt and allow him to show us what he can do.
— James Benamor (@JamesBenamor) September 29, 2020
Lovering also noted that trading since the end of the first quarter of the financial year has been in line with management expectations, with roughly 41,000 customers on Covid-19 related payment holidays with 9,000 customers having returned to making regular payments and over 3,000 having repaid their loan in full as at the end of August.
Cash collection at the end of August was down less than 20% from expectations before the pandemic, while the group has cash of over GBP145mln.