by Greg Klein | September 8, 2015
So you think you can run a resource company? That seemed to be Golden Predator Mining’s (TSXV:GPY) challenge when its majority shareholder nominated a rival BOD slate last month. The Yukon explorer’s management and five of its directors resigned en masse, leaving Till Capital TSXV:TIL with no senior staff and a bunch of inexperienced would-be directors to run Golden. Now the original Golden group has returned. And Till wants to divest what’s now a minority stake prior to getting right out of the resource sector. Both parties attribute the reversal to a renegotiated loan.
Golden confirmed the restoration on September 8, four days after an AGM voted the company’s slate. Two directors, along with two managers, had already returned September 2. Back in their original positions are CEO Janet Lee-Sheriff and director/acting CFO Greg Hayes, along with directors William Sheriff, Dennis Fentie, Bradley Thiele, Piers McDonald and Jesse Duke. Golden newcomer nominee Barry Rayment also won election.
Just days earlier, Till withdrew its own nominees to back the Golden slate, which includes several industry veterans and two former Yukon premiers. The company’s flagship Brewery Creek project sits 55 kilometres east of Dawson City.
Till’s beef, apparently, had been Golden’s promissory note and its $3.7-million outstanding principal. The repayment schedule has been extended to June 2019, payable in cash only, not shares. Golden regains two NSRs on its properties.
Having now resigned as Till’s chairperson/CEO, Sheriff’s severance amounts to 7.1 million Golden shares, 22% of the company, previously held by Till. That increases his holding to 26.9% and cuts Till’s from 58.9% to 37.3%.
Sheriff also gets two options to buy the rest of Till’s Golden stake, part of a plan in which Till would quit the resource sector, “with the corresponding financial commitments,” and focus on its reinsurance/insurance businesses.
But Till still holds 71.65% of Silver Predator TSXV:SPD, whose board overlaps Golden’s. Late last month Silver signed a promissory note with Till for up to US$275,000, with US$100,000 already advanced.