Unwinding good, voting shares bad
The old-fashioned holding structure that exists between Distell and Capevin with Remgro in the middle is being unwound and this should see a release of some value to shareholders as complex holding structures never allow for real price discovery. Unfortunately, it’s creating a bunch of B shares that, while carrying no economic value, do have voting rights in order for Remgro to maintain its voting control above 50%. Much like with the unwinding of the Pick n Pay structure, I am a fan. But I do not like these special voting shares. If you want to control a company, then it is simple: own 50% +1 of the shares rather than creating fancy voting shares that disadvantage normal shareholders.