Sanctuary Needs To Toughen Up

In explaining that Sanctuary chairman Andy Taylor is still “on probation,” an unnamed company investor told the U.K.’s The Independent that “Shareholders may have to get tougher if things get difficult next time round.”

The paper claims two institutional shareholders, who own more than 15 percent of the company between them, have said Taylor is no longer in control of the company.

These anonymous investors also said new non-executive chairman, former British Airways chief executive Bob Ayling, and new finance director James Wallace are in control and have the final veto over decisions.

And if trading doesn’t improve over the next 12 months, they said Taylor will be asked to step down altogether.

Most analysts blame Sanctuary’s problems on over-ambitious global expansion, particularly the acquisition of Music World Entertainment, the U.S. urban music management company owned by Mathew Knowles, father of pop diva Beyoncé.

Sanctuary’s AGM was scheduled to take place April 28, when shareholders are expected to vote for KPMG to replace Baker Tilly as company auditor.

– John Gammon