- Acknowledges Shareholder Meeting
- Calls for End to Nepotism, Stronger Governance and an Independent Board
VANCOUVER, Jan. 10, 2012 /CNW/ - The largest shareholder of Baja Mining Corp. ("Baja" or the "Company") (TSX: BAJ) today acknowledged the Board of Baja's response to its requisition with a special meeting of shareholders to be held on April 3, 2012.
Statement of Mount Kellett Capital Management LP ("Mount Kellett"):
"The purpose of our requisition is clear: The prevailing culture of nepotism and preference at the Company and a lack of independence in critical-decision making at the Board level will stifle the prospects of Baja becoming the company that it can and should be. The changes required should not be difficult, but they cannot be addressed by policy pronouncements that amount to mere "window-dressing".
A requisitioned meeting should not be necessary for shareholders of Baja to receive a stock option plan that is ISS compliant, a strong anti-nepotism policy that is actually followed by the Company, and additional independent directors who would form a minority of the Board to help shepherd these changes and provide independent input on critical decisions.
It is with considerable reluctance that we note that CEO Greenslade's daughter continues to act as the corporate secretary of Baja. Indeed, she is one of the top 5 highest paid executives at the Company with a total compensation for the fiscal year ended 2010 of $725,493, 1.3 million in cumulative option grants and entitlement to a payout of two years salary ($400,000) upon a change in control. There is a compelling need for better governance and greater director independence at Baja.
Mount Kellett is looking forward to working to bring about positive change for the benefit of all shareholders of the Company. And although in its press release dated January 9, 2012, Baja laments the cost and disruption of a proxy contest, we question why it has not combined the 2012 annual general shareholders' meeting with the requisitioned meeting in order to eliminate the duplicative costs of running two meetings."
Detailed information on the nominees of Mount Kellett and the purpose and history leading up to the requisition will be provided in Mount Kellett's information circular, which will be mailed to shareholders in the coming weeks.
About Mount Kellett Capital Management LP
Mount Kellett is a multi-strategy private investment firm focused on global value, special situations and opportunistic investing. The firm has approximately 100 employees with offices in New York, Hong Kong, London, and Mumbai. The firm currently has in excess of $6 billion in assets under management.
For further information:
Karen Chodzicki, Kingsdale Communications Inc.