TORONTO, Aug. 29, 2018 /CNW/ - Detour Gold Corporation (TSX: DGC) ("Detour Gold" or the "Company") corrects false assertions made by Paulson & Co. ("Paulson") on August 28, 2018 regarding the Company's director and officer shareholdings.
Paulson & Co. ("Paulson"), through its principal spokesperson Marcelo Kim, has established a record of being impulsive and inexperienced. On August 28, 2018, Paulson, we believe knowingly, defamed the Company by providing false information to the market on director and officer share ownership and ignoring the cost of exercising the options.
Examples that immediately call into question Paulson's credibility, either because of its inability to understand basic financial information or its willingness to knowingly mislead:
Mr. Kenyon actually increased his shareholdings by 7,073 shares (from 72,500 to 79,573 shares) when he exercised the 90,000 stock options which were expiring. The shares he sold were sold to cover the exercise price and tax liability.
Mr. Robert Doyle has not sold a share. Paulson incorrectly informed the market of its assumption that Mr. Doyle exercised and then sold his shares. This is false. Mr. Doyle exercised his options which were expiring, paying for the cost of such exercise, and has not sold a single share.
Although Mr. Rubenstein sold the shares acquired on the exercise of his stock options, the proceeds to him before tax (after paying the exercise price) were only $19,620. Paulson overstates Mr. Rubenstein's proceeds by almost $100,000.
Marcelo Kim and Paulson are willing to say and do anything to prop up their failing activist campaign. A retraction of their false statements is in order.
Shareholders have a clear choice between an inexperienced and impulsive Paulson activist fund whose very involvement with Detour Gold is destroying value, and an experienced and responsible Board and Management team committed to uncovering strategic opportunities and executing on the life of mine plan.
The Company has retained Kingsdale Advisors as its strategic shareholder and communications advisor, BMO Capital Markets as its financial advisor, and McCarthy Tétrault LLP and Norton Rose Fulbright LLP as its legal advisors.
About Detour Gold
Detour Gold is an intermediate gold producer in Canada that holds a 100% interest in the Detour Lake mine, a long life large-scale open pit operation. Detour Gold's shares trade on the Toronto Stock Exchange under the trading symbol DGC.