Atlas Mining to explore activist's suggestions

Atlas Mining Co.’s chief executive has agreed to work with an activist hedge fund that has expressed concerns about governance problems and a declining stock price at the natural resources and exploration company, according to an investor’s government filing on Thursday.
Activist investor IBS Turnaround Fund sent a letter to Atlas Mining management on Dec. 12 explaining that “governance changes need to be made” at the company. It wants Atlas Mining to expand its board from three to five and for two independent directors to be nominated. If Atlas Mining wants, IBS Turnaround has two recommendations for independent directors, the letter states. According to the filing, Atlas Mining is listening. “Subsequent to sending the letter, IBS had conversations with the CEO of the company regarding IBS' recommendations. The CEO has indicated to IBS that he agrees with IBS' recommendations and would pursue the matter with the board of directors,” the filing reported.
IBS Turnaround on Thursday reported owning an 11.6% stake in the Kellogg, Idaho-based company. Atlas Mining has a $41.7 million stock market capitalization. — Ron Orol