Dropsuite (ASX:DSE) said the Australian government's takeovers panel received an application filed by Harvest Lane Asset Management regarding Dropsuite's proposed acquisition by NinjaOne Australia, for AU$5.90 per share, via a scheme of arrangement, according to a Tuesday filing with the Australian bourse.

The application alleges that Dropsuite's shareholder, Topline Capital Management, which held a 31% stake in the company at the time of the proposal, committed to voting in favor of the scheme in the absence of a superior proposal emerged and its remaining shareholders' best interest, the filing said.

However, between Jan. 28 and Feb. 6, Topline reduced its stake from 31.0% to 19.7%, a move Harvest Lane claims was not disclosed in accordance with legal requirements, potentially creating a false market in Dropsuite's shares, the filing added.

Harvest Lane's application alleges that Topline misled investors by implying it would maintain its 31% stake and support the proposed scheme, the company said.

The application also seeks interim orders to prevent Topline from selling more Dropsuite shares and final orders requiring Topline to vote its original 31% stake in favor of the proposed acquisition at the scheme meeting.

A sitting Panel has not been appointed, and no decision has been made on whether to conduct proceedings, the company added.

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