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Monument Warns Shareholders to Be Wary of the Dissident Group Attempting to Take Control of the Board
VANCOUVER , Jan. 20, 2014 /CNW/ - Monument Mining Limited (TSXV: MMY) (FSE: D7Q1) ("Monum...
About this update from Monument Mining Limited
[{"type":"text","content":"\n\nVANCOUVER, Jan. 20, 2014 /CNW/ - Monument Mining Limited (TSXV: MMY) (FSE: D7Q1) (\"Monument\" or the \"Company\") today warned shareholders to be wary of the dissident group that is attempting to take control of the Board.\n\n\"This recently-surfaced dissident group wants 100% control of the board but has negligible ownership, vague plans and a poor understanding of corporate governance and mining law,\" said George Brazier, Monument's Chairman. \"Clearly this group is not up to the task of running Monument and shareholders are not being given the full story behind the dissidents' dubious and highly suspicious campaign.\"\n\n\"The dissidents are keenly aware of Monument's great potential for value creation,\" said Brazier. \"But they are hoping that shareholders passively cede control without receiving a premium price for control. We believe the dissidents represent a grave danger to Monument and shareholders should not let them succeed.\"\n\nMonument has reviewed the dissidents' information circular and believes that if elected, the dissidents may act in a manner contrary to the interest of the company and all of its shareholders. Monument notes that its largest shareholder, GoldMet B.V. with 19.67% of the shares, has entered into an agreement to support management's nominees and not to take actions to oppose them. Monument urges all shareholders to vote for the incumbent board to protect the value of their investment.\n\nWhat are the dissidents really up to?\n\nShareholders should wonder what the dissidents are really up to, because their tactics don't add up when reviewed against the following facts:\n\n\nDissidents who launch proxy contests or their supporters often have a meaningful ownership position. But Monument's dissidents have no real skin in the game with only 0.058% of the shares. Beyond their negligible ownership, the dissidents have not disclosed support from any other shareholders. The negligible ownership is troubling.   \nA proxy fight takes vast amounts of time and money and can be extremely disruptive to a company, so both sides have a powerful incentive to talk first. But Monument's dissidents appeared out of nowhere two weeks ago. They never previously presented themselves or their supposed concerns to management.   \nThe dissidents propose to spend hundreds of thousands of dollars in legal, ...