Accelerate agrees to appoint rebel investor group as corporate advisor
Link copied to
A rebel shareholder group has dropped its push to spill the board of Accelerate Resources after the cobalt explorer agreed to utilise the group’s services to help find a partner for its “Mount Read” project.
Accelerate (ASX:AX8) told investors on Monday that GTT Global Opportunities and its associates had now withdrawn its “249D” notice calling for the removal of the existing directors and appointment of Charles Thomas.
In exchange, Accelerate has agreed to re-appoint GTT as its corporate advisor for at least another 12 months.
GTT was the lead manager for Accelerate’s IPO earlier this year, which earned it 5 million shares. Those shares are escrowed.
GTT will now help the company find a partner to fund additional drilling of the Thomas Creek cobalt, copper and gold prospect at its Mount Read project in Tasmania.
Managing director Yaxi Zhan told Stockhead in late November that GTT wanted Accelerate to stop spending and exploration on its flagship project.
The first notice was received by Accelerate in late September and called for a meeting to be held to vote on the removal of chairman Grant Mooney and director Terry Topping.
But shareholders voted that move down.
Accelerate then received a second notice in November calling for a new meeting to vote out Ms Zhan.
With shareholders being asked to vote on the exact same resolutions that were voted down, Mr Mooney said the actions of GTT and its principals had descended from “a legitimate test of shareholder support for the incumbent board to an exercise in futility”.
“We had always respected GTT’s right to requisition shareholder meetings but were concerned with the time and costs it absorbed, so it is pleasing that we have reached an agreement that will enable both the board and GTT to focus on working together to drive value for all shareholders,” he told investors today.