David Stonebanks, the carpetbagger campaigning for Standard Life to demutualise and become a PLC has apparently now collected 1061 signatures in favour.
This is Mr Stonebanks's second attempt and he seems more determined than the first time. Apparently, if Standard Life refuses to hold a special meeting to consider the demutualisation, he will take legal action.
Standard Life commented that they intended to remain a mutual company and that 60% of their members were also in favour.
Our View
Standard Life appears confident that 60% of policyholders would vote to remain as a mutual. However, when the ballot papers are put in front of them with details of any proposed windfall payment, the story could be quite different.
According to Standard Life, Mr Stonebanks will need 75% of policyholders to vote for demutualisation in order for it to go through. One fact in Standard Life's favour is the fact that policyholders have been giving away their rights to demutualisation benefits when they take out policies for some time. This means that for those policyholders, the choice to stay mutual or go public is of no financial benefit to them.