EEA U-turns on share sale scheme after investors protest

Life settlements firm EEA has cancelled a proposed share sale scheme following criticism from shareholders.

The EEA Life Settlements fund was suspended in December 2011 following a wave of redemptions sparked by an FSA paper critical of the industry. The directors wrote to investors in the fund earlier this month to offer to match them with potential buyers of the shares. However, in a letter dated today, chairman Mark Colton said a "minority" of investors had blocked the proposal by involving the FCA and the Guernsey regulator, where the fund was listed until its suspension last month. "The fund's board of directors has since received a number of communications on behalf of a minority of s...