After the market closed Monday, Golden Star Resources (NYSEMKT:GSS) announced that President and CEO Peter Bradford would resign his executive positions and board membership at the end of 2007. According to the press release: “In making his decision, Mr. Bradford was strongly influenced by the need to devote more time to other personal interests and his growing family than he has been able to do over the last several years.” Chairman Ian McGregor said that “the Board deeply regrets Peter’s departure.”
We will find out on Tuesday whether the market likes this news. On one hand, the departure is sudden and without a named successor. That suggests the possibility that another shoe may drop. On the other hand, Bradford was not liked by many shareholders and his departure may be applauded. Some are already speculating that his exit clears the way for a potential takeover. Bill Cara called GSS a takeover play last October, and others have echoed that sentiment.
For now, I am sticking with my long position in GSS. If you hear anything on the company, please leave a comment or drop me an email.
Disclosure: Long GSS.
GSS 1-year chart