Dundee Responds to News from Formation

Dundee Corp. (TSX:DC.A) responded to press releases put out by Formation Metals Inc. (TSX:FCO) on June 11 and 14, stating that it views them as “a continuing attempt by management to entrench itself and not [be] held to account by the current Board.” Dundee hopes to stop Formation from selling its Sunshine Precious Metals Refinery and related facilities to Waterton Global Resource Management Inc., and has filed a petition in the Supreme Court of British Columbia against the two companies as well as Formation’s directors.

As quoted in the press release:

Dundee is of the view that Formation’s letter agreement with Waterton, as described in Formation’s June 6, 2013 news release, is not in the best interests of the shareholders.

Dundee is of the view that the Complex [consisting of the refinery and related facilities] constitutes a critical component of Formation’s core business, given that the Complex is, and has previously been described by Management as, a necessary and integral part of the Idaho Cobalt Project. In our view, the proposed sale of the Complex represents a sale of substantially all of the undertaking of the Company, requiring a special resolution of the shareholders – which Formation has not sought although it easily could have done so.

Click here to read the full Dundee Corp. (TSX:DC.A) press release.

Related reading: 

PROJECT UPDATE: Dundee Prepared to Block Formation’s Refinery Sale