Dave King faces legal action after failure to bid for Rangers shares

Rangers chairman Dave King. Picture: John Devlin
Rangers chairman Dave King. Picture: John Devlin
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A court case against Dave King has started after the Ibrox chairman failed to make an offer for the remaining shares in Rangers.

King was instructed by the Takeover Appeal Board (TAB) to submit a bid by 12 April 2017, but neglected to do so.

And now the Rangers chief faces legal proceedings for failing to make an offer in the reegion of £11 million for the remaining shares.

The Takeover Panel are at Edinburgh’s Court of Session today where they are arguing that King should have made an offer for the remaining stake in Rangers.

On 13 March this year, the TAB published documents stating that King had acted ‘in concert with Messrs George Letham, George Taylor and Douglas Park to acquire more than 30 per cent of the voting rights in Rangers’.

A TAB statement read that as a result, King had ‘incurred an obligation under the Takeover Code to make a mandatory offer at a price of 20p per Rangers share for all of the Rangers shares not already held by Mr King and members of his concert party.’

King hit back at the TAB’s decision in March, saying he did not agree with the ‘much delayed ruling’ adding: “I don’t follow its logic and I shall take the appropriate time to reflect upon it and consider the best course of action.”

He continued: “I would anticipate that, if I was to proceed with an offer on the terms required, it would be rejected by the overwhelming majority of shareholders and therefore not receive the level of acceptances necessary to proceed.”