Haley Van Leeuwen.
Forsyth Barr is recommending Abano Healthcare
shareholders vote against a resolution chairman Trevor Janes be
removed from office.
A special meeting is scheduled for Friday, although
dissenting shareholder James Reeves filed proceedings in the
High Court seeking orders to postpone the special meeting to
a date three to four weeks after June 13.
Mr Reeves and fellow shareholder Peter Hutson, who hold 18.5%
of Abano between them, are seeking shareholder support to
remove Mr Janes as chairman.
Forsyth Barr broker Haley Van Leeuwen said on Thursday the
two men were involved in the failed takeover attempt of Abano
They then launched a public campaign criticising the
performance of the Abano board and management, calling for
change, starting with a new chairman.
Abano was a long-term growth-focused investor, prepared to
invest to generate returns which, in the short-term, might
suppress earnings, she said.
The strategy was evident from the investment in radiology
businesses and the expansion of the audiology network in
Australia and Asia.
Also, investment in infrastructure to support the expanding
dental platform would enable the dental acquisition strategy
Abano's brands include Lumino The Dentist.
Abano had a track record of creating shareholder value and
Forsyth Barr's outperform ratings reflected the incumbent
board and management continuing to pursue those growth
strategies, Mrs Van Leeuwen said.
''The dissenting shareholders have provided little in the way
of what alternative strategies will be pursued in the event
the chairman is deposed. The ongoing dispute with the
dissenting shareholders has been a major distraction for the
board and management.
''We recommend Abano shareholders vote against the
resolution,'' she said.