TSXV:FCO.H - Post by User
Comment by
JohnEStromJron Jun 23, 2010 6:20pm
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Post# 17216058
RE: shareholder protection plan
RE: shareholder protection planboozerbyron,
Shareholder protection plans ONLY guard the company against hostile takeover. It does NOT protect shareholders from an insider / sweetheart deal between management and another company. I've seen a lot more of the latter than the former.
Our biggest danger is a willing "buyer" and a willing "seller" working against our interests and for theirs! In the past several years I've not owned stock in a company I owned that needed a shareholder protection plan but I HAVE had three that needed protection for our own management. They are: EuroZinc, Rio Narcea and LionOre.
I'm hoping Formation Metal is NOT the fourth such company but with 20% of our board a former Noranda [Xstrata] employee or a Coalcorp employee I have major doubts whether we've a management that is looking out for OUR interests rather than their own. Just my opinion. Management is encouraged to prove me wrong. In the mean time color me suspicious.