Coloured Ties Announces Intention to Solicit Proxies to Reconstitute Labrador Board and To Reject Change of Business

Core Viewpoint - Coloured Ties Capital Inc. and concerned shareholders intend to solicit proxies to reconstitute the board of directors of Labrador Gold Corp. and reject the proposed change of business model [1][2][3] Shareholder Concerns - The concerned shareholders own approximately 8.40% of Labrador's outstanding common shares and express significant concerns regarding the company's poor corporate governance and underperformance over the last five years [2][3] - The board's decisions have led to a destruction of shareholder value, and the proposed change of business is viewed as a distraction from the company's poor performance [2][4] Board Reconstitution - An immediate reconstitution of the board is deemed necessary to improve Labrador's performance and restore shareholder value [3][4] - The concerned shareholders propose the appointment of Kulwant Malhi, Ronald Wortel, Jean Lafleur, and Tara Asfour as nominees to the board [7][8] Recent Board Decisions - Key decisions made by the board in the past 18 months have been ineffective, including the sale of the Kingsway Project at a time when gold prices were rising, resulting in a significant loss of shareholder value [4][5] - The company liquidated shares from the Kingsway Project sale at a loss of approximately $8 million, demonstrating poor investment acumen [5][6] Proposed Change of Business - The proposed change to become an investment issuer is considered risky and ill-advised, with management's track record raising concerns about their ability to manage such a transition [4][11] - The first proposed investment under the new strategy involves a $1 million private placement in Northern Shield Resources Inc., which is viewed as conflicted and high-risk [11] Governance and Strategic Direction - The concerned shareholders believe that Labrador has the potential to become a strong mineral exploration company, leveraging its approximately $18 million treasury and shareholder base [7] - The nominees aim to enhance corporate governance and restore strategic direction to the company [8][9]