Fat Prophets Global Property Fund Members Approve Winding Up at EGM
Investors in Fat Prophets Global Property Fund have voted to wind up the fund, initiating a formal closure process and delisting from the ASX.
- Extraordinary General Meeting held on 29 January 2025
- Resolution to wind up Fat Prophets Global Property Fund approved by majority vote
- Responsible Entity to commence winding-up process and engage with ASX for delisting
- Over 52% of votes cast in favour of winding up
- Fund’s future operations and market presence now set for closure
Meeting Outcome and Vote Details
On 29 January 2025, One Managed Investment Funds Limited, acting as the responsible entity for Fat Prophets Global Property Fund (ASX: FPP), convened an Extraordinary General Meeting (EGM) in Sydney. The meeting was called following a requisition under the Corporations Act, specifically to consider a resolution to wind up the fund.
The resolution was put to a poll and carried with a clear majority: approximately 52.75% of votes cast were in favour, while 6.33% opposed. The relatively low abstention rate underscored the decisive nature of the vote. This outcome marks a significant turning point for FPP, signaling the beginning of the fund’s formal closure process.
Implications of the Winding-Up Resolution
With the resolution approved, the responsible entity has announced it will commence the winding-up process immediately. This involves liquidating assets, settling liabilities, and ultimately returning capital to investors. The fund’s management has also initiated discussions with the ASX regarding the removal of FPP from the official ASX listing once the winding-up is complete.
This development reflects broader challenges within the global property investment sector, where market conditions and investor sentiment have pressured funds to reconsider their operational viability. For investors, the winding-up process will be closely monitored for updates on timelines and expected returns.
Next Steps and Market Considerations
The responsible entity has committed to providing ongoing updates in line with ASX Listing Rule 3.1, ensuring transparency throughout the wind-up. Stakeholders will be watching for details on asset sales, distribution schedules, and any potential impacts on remaining fund obligations.
While the decision to wind up is definitive, the process itself can be complex and protracted. Market participants will be keen to understand how efficiently the responsible entity manages this transition and what it signals for similar funds facing comparable pressures.
Bottom Line?
The winding-up of Fat Prophets Global Property Fund marks a pivotal moment, with investors awaiting clarity on the closure timeline and financial outcomes.
Questions in the middle?
- What is the expected timeline for completing the winding-up process?
- How will the fund’s asset liquidation impact investor returns?
- Could this decision influence other ASX-listed property funds facing market headwinds?
