The National Property Trust has come up with a plan to buy out its manager, which it says is supported by the Cushing family, who are part of a group of unit holders trying to force the removal of the manager.
The manager of The National Property Trust, The National Property Trust Ltd, is owned St Laurence Ltd, which was placed in receivership by its trustee, Perpetual Trust Ltd on April 29.
Under the proposal announced today, management rights held by the manager will be relinquished for $2.5 million, while 31.9 million units held by the manager will be repurchased at 51 cents each, and a company will be formed so that unit holders will exchange their units in the trust for shares in a company. The shares of the new company will list on NZX.
The Cushing family have advised that they will support the above proposal subject to it binding the manager and only being subject to approval of unit holders.
If acceptable they will recommend the withdrawal of the notice to requisition a special meeting.
In May, the New Zealand Guardian Trust, the trustee of National Property Trust, said it received a copy of a request on behalf of unit holders holding 10.31 percent of the units for a meeting of unit holders to consider an extraordinary resolution to remove the manager.
