Investors battle AMY for Ronson

SHAREHOLDERS at Ronson, the once proud lighter maker, face a battle to save the company at today's extraordinary general meeting.

They are being asked to approve a two-for-one rights issue. This will dilute their holdings and hand control to AMY, the largest shareholder with 30%.

AMY is controlled by non-executive director Farzad Rastegar. New York-based Rastegar earned the ire of many shareholders after delisting in July without their consent and threatening to liquidate Ronson.

Investors were aghast, as the annual report issued in the spring of last year gave no hint of financial crisis. The Ronson Shareholders Action Group believes Rastegar is attempting to gain control on the cheap.

It claims Rastegar has rejected offers of more than £4m for the company and is urging investors to vote against the rights issue.

RSAG leader Nicos Malamatinas claims the support of 20% of Ronson's 8,500 shareholders - including the 10% stake owned by Tory Kiam. Kiam's father Victor rescued Ronson in the Nineties and remained involved until his death two years ago.