SOO

Two former chairmen of Southampton Football club owning 22.07% of the plc business have demanded to be reinstated. Michael Wilde and Rupert Lowe have called for an EGM of Southampton Leisure (SOO:AIM) shareholders to vote on the removal of several directors.

They want current chairman Leon Crouch, chief executive Lee Hoos, and directors Patrick Trant and Keith Wiseman to be removed from office. In return, they have demanded that Wilde, Lowe and Andrew Cowen – also a former director - be reappointed.

Southampton Leisure said it had received letters supporting the motion from shareholders accounting for a further 20.31% of stock.

In June 2006, Wilde tried to vote out Lowe – the then-chairman – and Cowen as part of a wider management reshuffle and take control of the club. The EGM was scrapped after Lowe and Cowen, among several other directors, resigned. Wilde joined the board but left in February 2007 after funding problems caused friction among the management.

The Saints have been down on their luck since Premier League relegation in 2005. The club is still desperate for money. Half-year revenue for the latter part of 2007 fell 44% to £7.1 million. Pre-tax losses narrowed from £3 million to £620,000 after making £9.1 million from selling players.

Shares says: The power struggle continues. The club is financially under pressure and is dangerously close to relegation yet again. Generally a mess worth avoiding.

by: Dan Coatsworth