Reabold Resources PLC said on Wednesday that shareholders had rejected all proposals to remove its current board of directors at a mandatory general meeting.
Reabold is an oil and gas investment company with interests in the UK, Romania, USA and Italy. Shares in the company were up 7.0% at 0.086 pence each in London at midday on Wednesday.
In December, shareholders owning about 8% of Reabold’s stock proposed removing the company’s entire board and replacing it with four new directors.
The splinter group included Kamran Sattar, who, along with others, owned a 40 percent stake in Daybreak Oil & Gas Inc., a Texas-based crude oil and natural gas company. Reabold warned that Sattar had “a strong motivation to take control of Reabold in order to prioritize the company’s cash resources for Daybreak.”
The company also warned that Strand Hanson Ltd, Reabold’s appointed adviser, would resign if the resolutions were passed. Reabold shares would then be suspended from trading on the AIM.
During the requisitioned general meeting held on Wednesday, the 11 resolutions were rejected.
In November 2022, Reabold said shareholders had rejected a similar proposal to oust and replace the board.
Jeremy Edelman, non-executive director, said on Wednesday: “The outcome of today’s requisitioned general meeting represents resounding shareholder support for the existing board. The results represent margin of votes against shareholder resolutions requisitioners even more important than during the last general assembly requisitioned in November 2022.
“This process has, once again, constituted a serious and costly distraction for Reabold, significantly delaying the management team’s ability to implement the Company’s strategy. The Board of Directors believes that the Company is well positioned with its portfolio of strategic gas assets and strong cash position. The company’s efforts can now be fully focused on unlocking this value for all shareholders.
This article is originally published on zonebourse.com