Home / Insurance Tips / Focus on real issues and don’t get distracted, advises Raging River, Taseko dissident

Focus on real issues and don’t get distracted, advises Raging River, Taseko dissident

The battle for the hearts and minds of shareholders of Taseko Mines, underway for two months, has two months to run before the final showdown on May 10.

It won’t take as long as the U.S. presidential election, however the battle for the minds and hearts of shareholders of Taseko Mines, underway for 2 months, has two months to operate before the final showdown on May 10.

And halfway through, Chicago-based shareholder Raging River Capital – that is leading the charge to have its four director nominees elected, all part of an agenda to alter Taseko’s direction – argues its campaign is having an impact.

In a job interview Friday, Mark Radzik, managing partner of Raging River, said “you know that you have hit the right spot when you get a violent reaction. And we are seeing that,” added Radzik when talking about the volley of releases, some corporate governance changes and amendments to some corporate policies made by Taseko, a company that represents Raging River’s entry into Canadian proxy battles.

Radzik argues the Taseko response is part of its plan “to distract in the real issues” that they argues are poor share price performance (in the last 5 years the shares have declined by almost 90 percent); and company governance.

“Underperformance is usually the symptom, not the cause,” said Radzik. “I would posit the cause is insider deals and conflicted directors.”

Earlier he explained “making preferential, related party deals in a difficult macro cycle further destroys shareholder value.” By his calculations, in the last three years Taseko has spent $28 million in “investments to related companies and costs.”

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