Algonquin Power & Utilities Corp T.AQN.PR.A

RE:Don't worry

[AlwaysLong683]

BSdetector2016 wrote: The activist investors are in driver's seat now, telling Banskota what he can and cannot do.

Not if other large shareholders and the BOD have Banskota's back. If the BOD was going to fire Banskota, they would have done so when AQN's large debt load bit them in the butt as interest rates rose, necessitating a dividend cut coupled with a strategic review to reassess their portfolio of assets. Yes, AQN management will consult with a 7.5% shareholder, but they are far from a control position in the company. Even if they dump all their shares, they will likely drive the share price down as they try to sell all those shares, which will affect their proceeds from the sale and likely not make them much in terms of profit. The corresponding drop in the share price will be a pain to remaining shareholders, but the share price will return to an assessment of the fundamentals of the company in time. Bottome line: in the end, it will be the BOD in conjuncion with top management figures that will decide if, when, and how many assets are sold. The only way this activist investor can have a significant impact on these decisions is if other large shareholders side with them re. their proposals.