• OSC Reasons in HudBay Raise Questions About Independence of Financial Advisers
  • May 7, 2009 | Author: Michael J. Siltala
  • Law Firm: Torys LLP - Toronto Office
  • The Ontario Securities Commission has released its reasons for the recent ruling that led to the withdrawal of HudBay Minerals' proposed acquisition of Lundin Mining. While the reasons deal mainly with procedural and administrative law issues, they include comments from the OSC about potential conflicts of financial advisers who are compensated on the basis of the success of a transaction. In our bulletin on top M&A trends for 2007, we noted this as an area of concern for directors, who have become increasingly vigilant regarding the potential for conflicts among their advisers.