Internet media group Falcon Media House Digital PLC (LON:FAL) has bought for £8, and then cancelled, the Founder Share in the business which allowed its owner the right to appoint and remove directors from the business, providing a layer of protection that is now not required.
Chief Executive Gert Rieder tells us “Following on from the recent purchase of the Quiptel Group and the re-admission of the enlarged group to trading on the London Stock Exchange, the board and the founder have agreed that this protection mechanism is no longer required."
The move is described by Gert as essentially, a bit of 'corporate housekeeping or cleaning up'.
“As the group works hard to develop its operations it follows that the shareholder base will also develop and the board believes that the acquisition and subsequent cancellation of the Founder Share marks an important milestone in this process."