Aspen Group turned down two proposals to outsource its management and instead named the owners and operators of its largest security holder as joint CEOs.
The property company is rejecting the separate investment management proposals of Discovery Holiday Parks Pty. Ltd. and Mill Hill Capital Pty. Ltd. after an independent board committee concluded that neither of the two bids will likely secure the necessary approval from its security holders. In addition, Aspen pointed out that the new management team and new revenue streams are superior to the two proposals submitted and the existing management set-up of the company.
Despite Aspen's decision to reject Mill Hill Capital's management proposal, the property company appointed John Carter and David Dixon as its joint CEOs following the resignation from the role of Joel Cann. Carter and Dixon own and operate Mill Hill Capital, which holds a 23% stake in the Australia-listed developer.
The company noted in a release that the appointments will subsequently replace the current CEO and CFO after a transitionary period. Aspen added that it will also manage Mill Hill Capital's Affordable Accommodation & Land Fund and Marina Hindmarsh Island Fund without buying any of its security holders' assets.