Key facts
- Vale received a request from its top shareholder, Previ, for a shareholders' meeting.
- The meeting is to vote on the removal of Chairman Daniel Andre Stieler.
- Previ proposed appointing Jose Mauricio Coelho to Vale's board and Manuel Oliveira as chairman.
- Previ cited strengthening governance and aligning with shareholder interests as reasons for the proposed changes.
- Vale's board is assessing the steps required to convene the shareholders meeting.
Brazil's Vale, a major global iron ore producer, announced on Thursday that its largest shareholder, the pension fund Previ, has requested a shareholders' meeting. The purpose of the meeting is to vote on the removal of the company's Chairman, Daniel Andre Stieler.
Previ, which manages pensions for employees of the state-run Banco do Brasil, also put forward proposals to appoint Jose Mauricio Coelho to Vale's board and to back current board member Manuel Oliveira as the new chairman. According to Vale's filing, Previ argued that Oliveira's leadership would contribute to strengthening governance practices, improving strategic management, and aligning the company's interests with those of its shareholders and stakeholders.
The mining company stated that its board is currently evaluating the necessary procedures to convene the requested shareholders' meeting. Previ, which holds approximately 7% of Vale's shares, did not immediately respond to requests for comment. Marcio Antonio Chiumento, the new CEO of Previ, joined Vale's board earlier this year.