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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?

To: LoneClone who wrote (67758)	10/28/2009 12:24:40 PM
From: marcos	Read Replies (1) \| Respond to of 78403

try.to - 'Board manoeuvres may follow Troy peace deal' - theaustralian.news.com.au 'TROY Resources is set to unveil a $25 million rights issue today as major shareholder and former chairman John Jones looks to have won his fight to block an institutional placement and reduce the power of chief executive Paul Benson. On top of the underwritten rights issue, Mr Jones and current chairman John Dow are on the verge of a deal that would avoid a November 16 shareholder meeting to vote on a board spill that would give Mr Jones and his associates control. A likely outcome of the settlement would be the removal of Mr Benson from the board. He would, however, keep his position as chief executive, at least until the company's flagship Casposo gold project in Argentina was brought into production in September. The one-for-six rights issue is understood to be at $2 a share, which is a 19 per cent discount to Troy's last traded price of $2.47. It will be underwritten by Bell Potter, Euroz and Argonaut. The funds will go towards developing the $US45 million ($49.5m) Casposo project. Mr Jones, a non-executive director of Troy and 13.5 per cent shareholder, called for the spill earlier this month to block what he said would have been a heavily dilutive institutional placement. He said also that he had clashed with Mr Benson over the latter's desire to purchase an underground miner, understood to be Beaconsfield Gold. Last night, the board was still working towards a settlement and was hoping to make an announcement today. Mr Jones is thought to have garnered enough shareholder support to bring Mr Dow to the negotiating table. Troy went into a trading halt last night pending an announcement on an equity raising by the end of the week. Troy's North American shareholders cannot participate in a rights issue, so it is likely the raising will include some form of placement to give them the same options as other shareholders. It is unclear whether the settlement will deliver Mr Jones all his requested board changes. He had wanted to replace Mr Benson, Troy founder Philip Naylor and Denis Clarke, with Peter Stern (an adviser to Mr Jones), Robin Parish (a British-based Troy shareholder) and Perth lawyer Andrew Barclay.'