TSX:SGR.UN - Post by User
Post by
cantleon Dec 04, 2007 11:05am
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Post# 13911957
Miners and Shareholders Don''t Mix
Miners and Shareholders Don''t MixThe difficulty is this :
We have a management team who are miners, running the business as if the company is independently owned. They are good at what they do as miners, taking a prudent road to bring the company along. But,they see shareholders not as partners but as a necessary evil to get the money they need. They do not see the AGM as an opportunity to sell the company, but an awful experience where uninformed shareholders ask negative questions.
On the other side, there are the shareholders, the people who actually provide the money so the miners can do what they do. They expect a return on their investment, or they will take their money elsewhere (if I kept my money in the bank and at the end of the year, I had less money than I started with, I would go to another bank. This ain't no charity) The shareholders do not believe that the miners are doing enough to increase the share price. Everybody is making money on this venture, except the shareholders. ($250,000 was squandered on a failed placement, and somebody made 6% of $25,000,000 as a commission on the last placement)
What is needed is a leader who can understand both sides of the issue, walk the tightrope, and keep the balance between the two sides. The leader would make the shareholders understand the necessity for investing in the future and keep the miners aware of the importance of making decisions with the shareholders in mind.
Losing the experience that the miners bring to the table would be terrible for the company. Losing the confidence of the shareholders to make money, would be even worse.
Bring in a professional who can manage and sell the company, and let the miners do their job. Do not squander a great opportunity for everyone to make money !