Quickflix shareholders have rejected a move, led by a US-based investment fund, to oust three company directors including chief executive and co-founder Stephen Langsford.
About 75 per cent of Quickflix shareholders voted against the motion to replace Mr Langsford, as well as fellow co-founder Simon Hodge and non-executive director David Sanders, with four alternative directors.
“None of the requisitioning shareholders or their nominees attended the meeting and no votes were cast in favour of any resolution,” Quickflix said in a statement following the extraordinary general meeting held in Melbourne today.
Guaranty Finance Investors, a former substantial shareholder in Quickflix, led the bid to overthrow the board, pointing to high corporate and operating costs and declining revenue from DVD mailouts.
Guaranty had launched an online advertising campaign to persuade retail investors to support the motion and claimed to have won more than 40 per cent of shareholder backing.
These claims were later dismissed by Mr Langsford, who said the activist investors had zero credibility and were attempting to take control of the company.