Group convenor Graham Critchley said Paperlinx had not properly explained the recent change of chairman or the rumoured appointment of investment bank Moelis & Company to assess funding options.

He claimed these "disconcerting developments" may be part of a plan to restructure the company in opposition to the financial interests of hybrid securities holders.

Critchley warned last year that Paperlinx may try to pressure hybrid holders into selling their securities at a fraction of their value so they could be removed from the company's balance sheet.

He said some investors had discussed "the pursuit of legal avenues to resolve the ongoing oppression of hybrid holders", but told ProPrint that the investor group's strong preference was for the dispute to be settled out of court.

A Paperlinx spokesperson told ProPrint that it was unable to comment because it was not aware of any possible legal action.

[Related: Ups and downs of Paperlinx]

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