Rural Funds Group to sue short-seller Bonitas Research
Rural Funds Group has instructed its lawyers Clayton Utz to start legal action against Bonitas after a Ernst & Young report found the disruptive short-seller's assertions on the publicly listed accounts weren't substantiated.
On 6 August 2019, Bonitas Research LLC released a document about the financial position of the Rural Funds Group.
Rural Funds Management, as responsible entity for RFF, released a response on August 7 rejecting the claims.
RFM engaged Clayton Utz to instruct an expert to independently investigate the matters raised.
RFM has instructed Clayton Utz to now commence action against Bonitas Research LLC for its deliberate and malicious publication of the document, "which RFM contends constitutes misleading and deceptive conduct in Australia in respect of RFF securities."
Meanwhile the rural company has told shareholders it has secured the lease of its Rewan property to Australian Agricultural Company.
The lease of Rewan to AAC is expected to commence 1 October 2019.
Rewan was previously leased by Cattle JV Pty Ltd, a wholly owned subsidiary of RFM.
It also advised Cygnet, a 60 ha property located near Bundaberg in central Queensland, is expected to settle in November 2019.
RFM will initiate the development of a 40 ha macadamia orchard with a third party lessee being sought.