Troy Resources board under siege as shareholders revolt
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Another day, another ASX-listed mining company is embroiled in a board stoush with its shareholders. This time its South America-focused gold miner Troy Resources whose shareholders are calling for a board spill.
Singaporean-based Republic Investment Management, which holds a 5 per cent stake in Troy (ASX:TRY), is seeking to remove the company’s current non-executive director John Jones and non-executive chairman Peter Stern.
Mr Jones has served almost two decades as chairman of the company — he’s been on the board since 1988 — while Mr Stern has only been on the Troy board since June.
Troy managing director Ken Nilsson has not been targeted by Republic for removal.
Republic is seeking to replace Mr Jones and Mr Stern with former Kingsgate Consolidated CEO Greg Foulis, former Tiger Resources director Russell Middleton and MacPhersons Reward managing director Jeff Williams.
Troy received the notice from Republic on Friday August 11.
If the notices are deemed valid, Troy is required to call a general meeting to consider the resolutions within 21 days of receiving the notices and hold a shareholder meeting within two months.
Troy announced today it was seeking legal advice on the validity of the notices.
Boardroom spills are nothing new to Republic Investment Management.
Founded by Singapore national Anwar Awan, Republic was previously embroiled in a boardroom spill at Buccaneer Energy, when then chairman Alan Broome was targeted for removal.
Troy hasn’t been having the best time of late with its Karouni project in Guyana suffering a few technical issues since coming into production last year.
This has been reflected in the company’s share price which has been steadily falling from a peak of $5 back in 2012 to 10c in today’s trading.