Magellan lawyers up for Bolton defensive

afr.com:

When Magellan Financial Group shows up at court on October 30, it will be flanked by two old favourites.

Magellan CEO David George. AFR

Street Talk understands Magellan has enlisted two law firms to challenge activist Nick Bolton’s request to hold a meeting of Magellan Global to wind up a $2.65 billion fund.

The head company, Magellan Financial Group, will be represented by Allens – the asset manager’s long-serving legal adviser whose relationship dates back to 2007.

The subsidiary, Magellan Asset Management, which is the trust’s responsible entity, is being advised by MinterEllison.

Both firms are understood to have deep-rooted relationships with Magellan: Allens on general advice; and Minters on specific matters.

Allens has advised Magellan on a score of matters including high-conviction trust IPO in 2019 and the bonus issue of options to shareholders last year.

Keybridge Capital’s Bolton has Allen & Overy in its corner.

On Friday, the battle between Magellan and Bolton took a new turn after the fund manager decided to legally challenge Bolton’s right to convene a meeting. Magellan asked the NSW Supreme Court to rule whether Bolton’s meeting request was valid.

It comes after Keybridge advised the responsible entity behind the Magellan Global Fund that it had gathered the 100 unitholder signatures required to call a meeting.

A hearing has been listed for October 30 – a noteworthy date as it falls within the 21 days required by the Corporations Act for the responsible entity to call a meeting after receiving a request.