Vale Board and Previ Set for July 22 Vote Over Council Chair

Overview

• An extraordinary shareholders meeting (AGE) was scheduled for July 22 to decide Previ’s request to remove Vale council chair Daniel Stieler.
• Previ, the Banco do Brasil employees’ pension fund, formally asked for the AGE, nominated José Maurício Pereira Coelho to replace Stieler and said it supports Manuel Lino Silva de Sousa Oliveira (Ollie) for council president.
• The Vale board met on June 19, decided to call the AGE but recommended shareholders vote against Previ’s proposals and put forward Ieda Gomes Yell and Marcelo Gasparino as rival choices.
• Tensions have escalated: Stieler, who chaired the June 19 meeting, accused Previ of 'falsidade ideológica administrativa' and 'abuse of voting rights,' while Previ is considering legally challenging that meeting for a possible conflict of interest and has demanded AGE preparatory documents.
• With Vale’s share ownership widely dispersed, the July vote will hinge on large foreign asset managers and could influence the company’s move toward stronger board independence and affect Previ’s role as steward of pension assets.