Vale SA’s board of directors voted against a proposal from major shareholder Previ to remove Chairman Daniel André Stieler. A majority of directors rejected the Brazilian pension fund’s stated reasons for the ouster.
The decision marks a critical point in an ongoing governance dispute. Previ successfully requested an extraordinary shareholder meeting scheduled for July 22 to address the matter.
Shareholders will vote on Stieler’s removal during the upcoming July session. Previ has nominated current board member Manuel Lino Silva de Sousa Oliveira as its preferred candidate for the chairmanship.