Capricorn resignations a blow to New Med merger plans

The disputed deal is playing out in public, as Capricorn’s board and activist shareholder Palliser both issue statements and rebuttals

The proposed merger of London-listed Capricorn Energy and Israel’s Newmed may have been scuppered by shareholder opposition. Five of the Capricorn board’s nine members resigned in late January, including the chairman and CEO. Another two board members, including the CFO, have committed to resign before 1 February. That is when shareholders will meet—as requested by shareholder and London-based fund Palliser Capital—to approve replacement board members, instead of voting on the merger deal, as was previously scheduled. The merger vote itself has now been pushed back to 22 February, which Capricorn says will allow “a reconstituted board to assess the proposed Newmed combination alongside other