Business
Staccato's board and management acknowledge the need to enhance shareholder value
Staccato's board and management acknowledge the need to enhance shareholder value
About this update from Gensource Potash Corp.
[{"type":"text","content":"\n\n\n\nFeb. 4, 2010 (Canada NewsWire Group) -- TORONTO, Feb. 4 /CNW/ -- Augen Capital Corp. (\"Augen\" or the \"Concerned Shareholder\") (TSXV: AUG) an owner of approximately 6.4 million shares or 6.4% of Staccato Gold Resources Ltd. (\"Staccato\" or the \"Company\") (TSXV: CAT) today acknowledged the decision of the Company's current Board of Directors (the \"Current Board\") and management to commence a formal review of its strategic options in order to enhance shareholder value.The Concerned Shareholder is calling for much-needed change to the direction of Staccato as it believes the Current Board and management have overseen significant destruction of shareholder value and have undermined market confidence in the Company through poorly conducted exploration programs, a lack of progress in advancing its principal project, including the failure to progress expeditiously in dealing with the technical issues concerning the resource estimate, and a lack of direction and conviction in reviewing and advancing other attractive opportunities including asset or corporate acquisitions.\"It is clear that the Current Board and management recognize their failed track record in shareholder value creation,\" said Peter Chodos, the COO of OreReserve Asset Management, Augen's Manager. \"We are very disappointed that Staccato's management has failed to engage in any exercise to create shareholder value prior to Augen's requisition to replace the Current Board. How can we trust the Current Board and management to act in the shareholder's best interests and make good business decisions when their track record says they cannot?\"Haywood Securities Inc. Engaged by AugenThe Concerned Shareholder has engaged Haywood Securities Inc. (\"Haywood\") to work with Augen to execute on a business plan for Staccato that will create substantive value for all Staccato shareholders. Haywood, based in Vancouver, Canada, is one of Canada's largest independent broker-dealers, with a significant retail and institutional presence. Haywood's investment bankers provide leading merger and acquisition (\"M&A\") and financing advisory services for mining companies, and are a leader in M&A and financial advisory services for junior mining companies. Over the last year, Haywood has been involved with over 20 pending and/or successful M&A and financial advisory assignments...