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Detour Gold CEO steps down after shareholders side with Paulson in proxy vote

TORONTO — Detour Gold Corp. says interim CEO Michael Kenyon has resigned following a vote that saw shareholders side with activist investor Paulson & Co. Inc. in a extended proxy battle.

The vote saw five Paulson-nominated directors approved, including two who had also been endorsed by Detour, as well as four others from the slate put forth by Detour.

John Paulson, head of Paulson & Co., said in a statement that the vote was a major victory for Detour shareholders and that the hedge fund’s investment is now in the “capable hands of experienced, independent and professional directors.”

Five previous Detour directors, including Kenyon, were removed as a result of the vote.

James Gowans, a Detour pick who was appointed chairman of the board of directors, said in a statement that he looked forward to working with the new board now that the distraction of the proxy contest was resolved.

Paulson launched the proxy fight six months ago after expressing frustration with the company’s inability to properly manage shareholder assets.



Companies in this story: (TSX:DGC)


The Canadian Press