"Our way or the highway," Redstone chief tells shareholders

Emergency plans last hope for troubled telco...

Emergency plans last hope for troubled telco...

Redstone Telecom has warned its shareholders to back its plans for an emergency rescue package or face liquidation. In a letter to the Redstone Action Group (RAG), Redstone chief executive Ian Brown warned that should the telco be forced into administration, as favoured by the RAG, its break-up value would be considerably less than analysts' estimates. Redstone's emergency restructuring package aims to raise £25m for the beleaguered company, which has seen its share price plunge from an all time high of 949p to less than 3p yesterday. The deal would allow Redstone shareholders to buy stock at 1p a share. The RAG is confident it can garner enough opposition to block the deal at the company's EGM on 20 July.