Interestingly, orchestrating a board spill is a double-edged sword for CATH and the other Chinese holders (CATH & Co) who collectively hold approx 20% of AVZ shares (excluding Chinese individuals and trusts within funds).
If CATH & Co somehow manage to spill the board, and their China-aligned muppets get seats on the new board, the whole of Manono is gone, gone, fucking gonski...absorbed into Manono Lithium or sold off for peanuts. Manono Lithium remains in the driver's seat, and Zijin becomes the main beneficiary. CATH & Co's investment is down the toilet, and they still fail to get a slice of Manono. If they want back in, they have to buy back in...again.
Their best bet is to keep the present board, and at least get most of their investment back when negotiations are concluded.
This scenario is rather simplistic, and just one of many complex possibilities and permutations.
My head hurts just thinking about them.
Here is what I have researched
In the case of a Board Spill, the same directors can be voted back in. A Board Spill typically occurs when shareholders decide to remove the entire board of directors and then elect new directors. However, the existing directors are eligible to stand for re-election, so if shareholders choose to vote for them again, they can return to their positions.
A person who has been voted onto a board can be
blocked or removed in several ways:
1. Shareholder Vote: Shareholders can call for a vote to remove a director, usually requiring a certain percentage of votes.
2. Bylaws or Corporate Governance Rules: The company's bylaws may specify conditions under which a director can be removed or blocked from serving.
3. Conflict of Interest: If a director has a conflict of interest that violates company policies, they may be blocked from participating in certain decisions or meetings.
4. Legal Challenges: Legal action can be taken if there are grounds to challenge a director's election, such as fraudulent activities or non-compliance with regulations.
5. Board Decisions: The board may have the power to censure or limit a director’s involvement in specific areas, depending on the governance structure.
6. Resignation or Voluntary Withdrawal**: A director may choose to resign or step back if pressured by other board members or shareholders.
These mechanisms help ensure accountability and alignment with the company’s interests.
Please do your own research - this is not my area of expertise nor is it advice.
SilentOne