Pioneer seeks legal advice in Regent row

Investment holding company Pioneer Industries International is seeking legal advice on what action to take against alleged potentially damaging statements made by Regent Pacific Group.

Pioneer company secretary Jane Tsui said the company was discussing what action it would take with its lawyers after Regent alleged that the company revealed price sensitive information to some Pioneer shareholders.

The claim was made by Peter Everington, chairman of Regent Pacific, which holds a 20 per cent stake in Pioneer, after a special general meeting on Tuesday.

Mr Everington alleged that the price sensitive information was released to some Pioneer shareholders, including Regent, so as to encourage them to sell their stakes.

Ms Tsui said Pioneer secured votes representing more than 60 per cent of the company's shares in Tuesday's general meeting, and that the share option scheme had been adopted.

Regent Pacific, holding 20 per cent of Pioneer, won total votes equivalent to about 23 per cent of the shares. Regent voted against the move to introduce the share option scheme, claiming that the scheme was directed at diluting its shareholding in Pioneer.