Labrador Gold Issues Urgent Warning to Shareholders About Dissident's Dividend Promise
TORONTO, Feb. 19, 2026 – Labrador Gold Corp. (TSX.V: LAB | FNR: 2N6) has issued a strong response to a news release from Kulwant (Kal) Malhi-led Coloured Ties Capital Inc., which claims it will commit to paying shareholders a $0.02 dividend within seven days of LabGold's Annual General and Special Meeting on February 24, 2026 if their campaign succeeds. The Board of Directors cautions that this represents a vote-contingent promise designed to influence proxy voting rather than a credible, detailed plan to create durable value or protect LabGold's treasury.
Board Unanimously Recommends BLUE Proxy Voting
The Board unanimously recommends shareholders vote ONLY on the BLUE Form of Proxy and BLUE Voting Instruction Form, marking "FOR" all LabGold resolutions and "AGAINST" or "WITHHOLD" on the dissident's resolutions. Shareholders are urged to vote well in advance of the February 20, 2026 deadline at 11:00 a.m. Toronto Time to ensure their votes are counted at the crucial meeting.
"Our shareholders deserve facts and safeguards to protect their investment—not conditional pledges," stated Roger Moss, President and CEO of LabGold. "This is a vote that determines control. The dissident is essentially seeking to buy votes in the final hours before the voting deadline in what can only be described as a desperate measure."
History of Misleading Campaigns
LabGold has previously warned shareholders that "the dissident is running the same old playbook again" and not to fall for what it describes as a desperate attempt to mislead them with false promises. The corporation points to the GrowMax Resources Inc. activist campaign precedent as evidence of why shareholders should carefully consider what has actually been delivered by the dissident once control is acquired.
In 2018, Kal Malhi ran a nearly identical campaign against GrowMax (later renamed Coloured Ties) promising shareholders a dividend of CAD $0.075 per share as part of a plan they claimed would maximize shareholder value. The dissident failed to pay the dividend amount it promised during the GrowMax campaign, while courts found the dissident communications were misleading, and shareholders ultimately paid the price.
Proxy Advisor Recommendations
Global leading independent proxy advisors ISS and Glass Lewis have recommended shareholders vote ONLY the BLUE proxy. ISS specifically stated that the dissident "has not presented a compelling case for any level of change, let alone a majority position." These recommendations add significant weight to LabGold's position that shareholders should reject the dissident's proposals.
The corporation has detailed these concerns in its letter titled "The Dissident's Motives Exposed: A Message From Your Board of Directors at Labrador Gold," published on February 2, 2026, which clearly states "Shareholders should see this sequence for what it is: the dissident is running the same old playbook again."
Urgent Voting Instructions
LabGold again urges shareholders to vote ONLY on the BLUE proxy well in advance of the February 20, 2026 voting deadline to ensure votes are counted and to disregard the dissident's gold proxy materials. Shareholders who require assistance should contact LabGold's strategic advisor, Kingsdale Advisors, at 1-888-518-6813 (toll-free in North America), email contactus@kingsdaleadvisors.com, or visit www.TheFutureofLAB.com.
The Board emphasizes that this vote determines control of the corporation and that shareholders should weigh the dissident's actual track record of delivering on promises once control is acquired against the current management's plans for sustainable value creation.
