Jervois Mining Ltd. has called on Australia's Takeovers Panel to stop Scandium Development International Pty. Ltd. from voting at the upcoming annual general meeting, in a bid to avoid a board spill.
The ASX-listed explorer believes Scandium Development has acquired a relevant interest in the company in excess of the 20% takeovers threshold through various associations, according to a Sept. 29 statement.
Scandium Development is a private company that holds 0.03% of Jervois' issued capital and has failed on several occasions to increase its direct interest, but is believed to have formed an alliance with other shareholders that collectively hold a 26% interest.
Jervois received a first strike vote against its remuneration report at its 2015 annual general meeting and is trying to avoid a second strike and potential board spill.
According to the Takeovers Panel, Jervois believes Scandium Development has been soliciting support from other shareholders to have the current directors removed, and that the alliance between Scandium Development and its associates allowed the first strike to occur.
The company now wants the panel to order Scandium Development to either make a takeover bid or refrain from entering any voting agreements with other shareholders.
Jervois also wants Scandium Development banned from voting at the Nov. 29 annual general meeting and any other meeting for at least six months.