I have written recently here about the duties of a PLC to give required information to allow a fair market in its shares, to inform investors and to prevent the possibility of “insider trading”.
Rangers International Football Club PLC has made no Stock Market announcements since 24th April 2013. (I checked at 7.35 am today).
Since then however the rumours and speculation have increased on a daily basis, yet no official comment has been issued.
A Rangers spokesman was quoted in one media report (well, I am sure in many more, but one I have seen) saying that Rangers do not comment on speculation. Continue reading
It is a hard job, running a PLC. As well as all of the normal struggles of business: cash flow, personnel, delegation, and customer satisfaction; there are extra responsibilities both to shareholders and to people who are not shareholders but who might wish to buy – “the market”.
The nature of a PUBLIC limited company is, as the name suggests, public. This does not mean that Bob from accounts having an argument with Joan from legal need be announced but, where information could influence share prices, either up or down, investors and potential ones need to be on the same page. “Insider dealing” or the potential for it is one result of not doing so.
So where there is significant “news” about a PLC, one would expect a public announcement. Confirmation of Sir Alex Ferguson retiring from the Old Trafford dugout had to come on the back of an announcement to the New York Stock Exchange.
If we turn our eyes to Rangers International Football Club PLC, to pick a random example 😉 we see uncertainty and confusion, even amongst those who have more than a passing knowledge of Ibrox affairs. Continue reading