Rumours of Takeover
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Given the decline in public company market valuations and an increase in perceived corporate vulnerability to inadequate or unfair takeover bids, boards of directors now seem to be reevaluating whether to add a Rights Plan to a company’s defensive arsenal.
Indeed, several companies have done this.
Three of our neighbouring companies in the Ring of Fire have added a Rights Plan to their Defensive Arsenal
MacDonald Mines Initiates Shareholder Rights Plan Aug 11, 2010
http://app.quotemedia.com/quotetools/newsStoryPopup.go?storyId=33166973&topic=BMK:CA&symbology=null&cp=null&webmasterId=92583
UC Resources Ltd. Adopts Shareholder Rights Plan Nov 10, 2009
http://agoracom.com/ir/ucresources/forums/discussion/topics/379006-uc-resources-ltd-adopts-shareholder-rights-plan/messages/1261346#message
Probe Mines Initiates Shareholder Rights Plan Aug 16, 2010
http://www.probemines.com/s/News_Releases.asp?ReportID=414656&_Type=News-Releases&_Title=Probe-Mines-Initiates-Shareholder-Rights-Plan
We also had a SRP approved by the B of D, ratified by the Noront shareholders and approved by TSX Venture due to expire in 2016.
As it was not discussed at the 2009 AGM the SRP was then considered no longer in force.
We are still suffering from the lasting effects of the worst Global Economical Downturn any of us have ever experienced.
We are vulnerable to inadequate or unfair takeover bids.
Is the Rights Stuff the Right Stuff ?
BMK, UC & PRB must think that it is.
Sorento
