Bid to wind up AIMS Property Securities Fund fails again

SINGAPORE - Boutique Australian investor Samuel Terry Asset Management has lost another attempt to have AIMS Property Securities Fund wound up, according to a unitholder vote that it called in Sydney on Monday (Dec 10).

The motion to wind up the dual-listed fund was defeated by an eight-point margin - wider than the six-point gap in a similar vote on Dec 7 - with votes representing 43.42 per cent of securities saying "no".

Entities related to the fund manager together have a 36.72 per cent deemed interest. While  AIMS Capital Management divested its 19.9 per cent stake on Dec 5, parent AIMS Investment Group Holdings has significant voting power in the buyer through a managed investment scheme.

AIMS-related unitholders have leaned on their substantial voting block to stymie previous winding-up attempts, including Samuel Terry's first such bid in January 2017.

Samuel Terry and another investment firm, Sandon Capital, had requisitioned a unitholders' meeting in late October, proposing to wind up AIMS Property Securities Fund. They cited dissatisfaction with issues such as a trading discount to the net asset value and portfolio allocation to related-party investments.

A few weeks later, the fund manager called a general meeting of its own for Dec 7. There were two motions on the agenda at that meeting: one to wind up the fund, which lost; and one that gave the manager a mandate to carry out a strategic review of the fund, which passed.