Letter to Shareholders in Altin AG and Interested Parties from Metage Capital
LONDON, April 10, 2013
LONDON, April 10, 2013 /PRNewswire/ --
Re: Proposal for Election of Directors at the AGM of Altin AG on 22 ^nd
We would like to introduce Metage Capital Limited as an investment manager
managing various client funds which are shareholders in Altin (the "Company").
As shareholders will be aware, Altin is a listed closed-ended fund investing
in hedge funds and managed by Alternative Asset Advisors SA, which is a part
of the Syz & Co Group.
Metage Capital was responsible for the inclusion on the AGM Agenda of the
proposal to elect Jerome Muller and Jean-Michel Clerc as members of the Board.
Our proposal appears under Item 6 of the agenda without explanation, and we
felt it appropriate to put forward to shareholders our reasons for this
Funds under our management have been shareholders in the Company for several
years and over this period we have become frustrated by the discount to net
asset value at which the shares of the Company persistently trade. For
reference, according to Bloomberg, the Company's share price has averaged a
30.1% discount to its net asset value over the last 12 months. This is the
widest discount exhibited by any major listed closed-end fund of hedge funds
of which we are aware.
Discounts are a commonplace problem in the closed-end fund world and certainly
not unique to Altin but there are many well-tested means of addressing them.
We have been disappointed by the lack of success experienced by the existing
Board of directors in bringing the price to better reflect the fair value of
the underlying assets. Indeed, the subject of the discount merited only a
single sentence in the recently-released Annual Report, pointing out that it
had averaged 29% during 2012. This is in contrast to the many statements in
previous years drawing attention to the Board's "strong commitment" to
ensuring that the share price remains in line with the NAV.
As a result of the above, we believe that the Company would benefit from a
strengthening of its Board through the inclusion of the two candidates we have
put forward for election at the forthcoming AGM. Jerome Muller has experience
as a manager of a portfolio of hedge funds and as a director of both open and
closed-ended alternative investment vehicles. Jean-Michel Clerc is a
specialist Swiss tax lawyer with extensive experience as a consultant to and
director of various multinational companies. As such, we believe that each
of these individuals would bring highly relevant experience to the Board of
the Company and hope that you will join us in supporting them.
A brief biography of each is attached. Copies of their full curricula vitae
are available on request.
We note in passing that the Company proposes the election to the Board of an
alternative candidate, a Mr Roger Ruegg. We are unable to venture any view on
Mr Ruegg as no information about him has been provided to shareholders.
Metage Capital Limited
For further information please feel free to contact us on email@example.com .
Mr. Müller founded J. Müller Capital in 2011 and serves as an independent
management and investment consultant based in Lausanne specialising in the
strategic planning of clients' businesses and analysis and due diligence of
Prior to this Mr. Müller was a partner, head of research and co-CIO at
Partners Advisers S.A., a Geneva-based Asset management company specialised in
alternative investments, where he was in charge of hedge fund analysis,
selection and portfolio management. From September 1997 until March 1999, he
was with Union Bancaire Privée in Geneva as an internal auditor.
Mr. Müller holds a Masters degree in International Relations from the Graduate
Institute of International Studies in Geneva and is a CFA charterholder.
Mr. Müller is a member of the board of directors and a member of the pricing
committee of Metage Funds Limited. He is also a member of the board of
directors of the Rockhampton Fund.
Jean-Michel Clerc is a founder and partner of Lexartis Avocats in Lausanne.
He is an experienced lawyer who has specialized in national and international
tax with an emphasis on tax planning for corporations and individuals.
Prior to establishing Lexartis Avocats, Mr. Clerc was co-CEO of Development
Economic Western Switzerland (DEWS) where he was instrumental in establishing
25 Principal companies in the Lake Geneva region.
Other previous positions include Partner at KPMG in 2001 before which he was
Head of the Tax Department at their Lausanne and Neuchâtel offices. He also
worked as an Associate with the law firms Baker & McKenzie (Etienne &
Associés) and Pirenne Python Schifferli Peter & Associés, Geneva. In 1995 he
was made Deputy to the Head of the State Tax Administration by the Vaud State
Mr. Clerc graduated from the University of Fribourg in Law and is a Member of
the Board of Directors of various group companies of:
• Groupe Reed Elsevier
Contact: Richard Webb +44-(0)207-087-7000
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