David Neuhauser‘s email to investors discussing the success in altering the Board of Directors of Detour Gold.
It’s been a busy time but wanted to quickly reflect on last week’s events. We attended the special shareholders meeting of our Detour Gold and left victorious in altering the Board of Directors.
Our concerns, and those of large holder Paulson and Company were shared by all and with that, 5 of the 9 Board members were changed. Including the resignation of CEO Michael Kenyon.
It's now essentially a complete overall given Detour Gold itself made some changes earlier in the year.
I am very happy to have taken part in the process and for Livermore to press for change. Our letters hit the mark squarely and many of the company's others shareholders were extremely thankful.
I want to take this opportunity to thank John Paulson for all his hard work. This is never easy, but it was required. Detour Gold is now set up for a path to increase and unlock vast shareholder value. And I expect Livermore to benefit. We have a small gain today but if the gap between NAV and current equity value closes with stronger management and a focused Board, we will prosper.
Below is an article that ran thereafter. We continue to see Gold miners as a path to value. If one can spot unique assets and a competent management team. And where there's none, the path to change the management, strategy and Board will be undertaken. In order to create true shareholder value.
Warmest wishes to you all.
UPDATE 2-Paulson's success at Detour Gold could serve as 'template' for future activism
By Susan Taylor and John Benny
Dec 13 (Reuters) - Billionaire hedge fund manager John Paulson’s success in ousting the bulk of Detour Gold Corp’s board could serve as a “template” for an expected increase in shareholder activism in the gold sector, institutional investors said on Thursday.
The Canadian mining company’s shareholders voted for five board nominees backed by Paulson & Co at a special meeting on Thursday, and Detour Gold's interim chief executive officer and the chairman were not re-elected to the nine-member board.
Paulson’s campaign could have implications across the sector, where activism is historically low.............
Read the rest of the article via Reuters