Irish Residential Properties REIT has again urged its sharesholders to reject all the resolutions at its upcoming EGM, which was requestioned by activist shareholder Vision Capital.
Irish Residential Properties REIT, the country's largest private landlord, is due to hold the EGM on Friday February 16.
Last month Canadian-based Vision Capital had demanded an EGM be convened so that shareholders can vote on its proposal to replace five directors of its nine directors and also force the total liquidity of I-RES within two years.
Vision Capital, which owns 5% of I-RES, said it remains dissatisfied with the overall management of the company under the stewardship of the current board and executive management team.
It also noted the company's continued poor share price performance and its "persistent discount relative to the market value of its assets".
In a statement today, I-RES REIT said its recently announced Strategic Review will be conducted in "all" of its shareholders' interests. It will be led by Hugh Scott-Barrett, who joined the board in September 2022, and was recently appointed Chair Designate of the company.
It said it "strongly refuted" Vision's claims that the existing goard cannot be trusted to lead the review.
"The board believes Vision's narrow focus on its objective of near-term liquidity in I-RES and distance from European market conditions has made it challenging to find agreement with Vision in previous discussions, despite the Board’s continued constructive attempts to find alignment," it added.
The company also said today that it has delivered strong operational management of a high-quality portfolio, adding that it has confidence in the quality and value of its assets.
It also stated that it has been pro-active in its efforts to address the valuation discount experienced by I-RES and the wider European real estate sector, adding that it "strongly" rejects any claim that I-RES has walked away from any development opportunities due to poor financial management.
I-RES REIT said its board has a proven balance of real estate, public listed and local and international experience, and noted that it was recently refreshed with the addition of three new independent directors since 2021.
"The board is mindful of the potential impact this ongoing conflict launched by Vision has on stakeholders and disappointed this has continued into 2024," the company said in today's statement.
"The Board recognises that it is in the interests of all stakeholders that this conflict is resolved," it stated.
"The Board continues to recommend shareholders vote against all resolutions proposed by Vision at the forthcoming EGM. I-RES reiterates that it will review all value maximisation options with an independent, skilled Board in the interests of all shareholders," it added.
