Hudbay Minerals Inc. said on Friday it had agreed with Waterton Global Resource Management Inc., its second largest shareholder, to elect a slate of 11 board members that includes some of the nominees proposed by both parties.
The agreement settles a long-drawn out proxy contest with the private equity firm, which nominated five directors to the Canadian miner’s board.
Waterton, which owns a 12.1 per cent stake in Hudbay Minerals, had recently filed a suit against Hudbay in a bid to stop it from soliciting proxies for its annual shareholder meeting scheduled for May 7.
Both companies have also agreed to look for a successor as board chairman to Alan Hibben. After he steps down as chair, Mr. Hibben will remain on the board until the 2020 annual meeting of shareholders.
Much of Waterton’s ire against Hudbay surrounds alleged talks the company had to acquire Chile’s Mantos Copper for about $780-million last year, which Bloomberg reported in October.