Push for new director ‘disappoints’ Cromwell

Cromwell Property has lashed out at a dissident shareholder for refusing to postpone a meeting.

A dissident shareholder is pushing Gary Weiss for the Cromwell board

Cromwell Property has lashed out at dissident shareholder ARA Asset Management for refusing to postpone a meeting at which it is pushing for corporate raider Gary Weiss to be elected to the Cromwell board.

The bitter battle for control of the property investor and funds manager, which has an $11bn empire across Australia and Europe, is set to come to a head on Monday at a virtual meeting.

Cromwell said it had written to ARA to suggest a postponement of the meeting in light of the enhanced restrictions ­imposed by governments.

But it said it was “dis­appointed” ARA continued to insist the meeting proceed regardless. “In Cromwell’s view, ARA’s continued insistence in holding the meeting, particularly given the significant uncertainty caused by COVID-19, illustrates their disregard for other Cromwell security holders,” it said.

The Brisbane-based company has a large group of elderly retail investors on its register and many are unlikely to attend.

But Dr Weiss remains committed to being elected to Cromwell's board after working behind the scenes to resolve the conflict.

He has argued privately that ARA has been treated poorly, and is keen to get into the boardroom and get Cromwell on the right track as it faces up to the impact of the virus.

ARA and another large investor, Singapore's Tang family, which is also likely to back him, are keen to get the seasoned director on to the board.

The crisis has also shone a light on Cromwell’s highly geared balance sheet and move to take full ownership of a $1bn Polish shopping centre.