A district court in Taiwan has dismissed a legal action filed by Advanced Semiconductor Engineering (ASE) to seek an injunction to prevent Siliconware Precision Industries (SPIL) from holding a provisional shareholders meeting scheduled for October 15.

SPIL did follow legal procedures with regard to holding its provisional shareholders meeting on October 15, according to the court.

SPIL said the shareholders meeting will be held as scheduled to seek approval for an increase in the company's authorized share capital and its planned share-swap agreement with Foxconn Electronics (Hon Hai Precision Industry).

ASE has argued that SPIL's management has deprived it of the right to attending the shareholders meeting, as well as its right to vote on SPIL's proposal to tie up with Foxconn.

ASE has become SPIL's largest shareholder after completing its unsolicited tender offer to acquire an up to 25% stake in the company. However, as ASE's holding in SPIL was confirmed on September 22, ASE will not be qualified to attend SPIL's provisional shareholders meeting scheduled for October 15.

ASE was quoted in previous reports expressing its opposition to SPIL's share-swap deal with Foxconn, as well as SPIL's plans to increase its authorized share capital.