Petroceltic to seek injunction over EGMs

Irish oil and gas exploration firm Petroceltic is to seek a High Court injunction preventing one of its shareholders from convening an extraordinary general meeting.

The action is against Swiss hedge fund Worldview and arises out of its bid to call an EGM in London on Monday, October 5. Worldview holds 29% of Petroceltic’s share capital.

At the High Court in Dublin yesterday, Andrew Fitzpatrick, counsel for Petroceltic, said the company was seeking an injunction restraining what his client claimed was an “unlawful” meeting.

Mr Fitzpatrick said this latest EGM was the fourth sought this year by Worldview which was believed to be engaged in a “campaign” against Petroceltic.

He said Petroceltic had written to Worldview asking it not to convene the latest EGM but Worldview had failed to comply with their request.

Mr Fitzpatrick told the court that Petroceltic was seeking an injunction preventing the shareholder vote from taking place. He said the proposed EGM was causing difficulties for Petroceltic and its shareholders.

He said Worldview had put two resolutions before the EGM seeking shareholder disapproval of Petroceltic’s decision to issue senior secured bonds announced last June or approving Petroceltic incurring new borrowings or issuing new debt securities.

Mr Justice Max Barrett granted Petroceltic permission to serve notice of the injunction application on Worldview and made the proceedings returnable to tomorrow.