British Columbia Investment Management Corp., or BCI, will vote against Newmont Mining Corp.'s proposed US$10 billion takeover of Goldcorp Inc. mainly due to the "egregious payout" Goldcorp Chairman Ian Telfer stands to get once the deal is sealed.

BCI said March 22 that Telfer's US$12 million retirement package, which is nearly triple the initial entitlement proposal of US$4.5 million, is "inconsistent with the governance principle of pay-for-performance and sets a troubling precedent in the capital markets."

According to BCI, the package does not represent the interest of Goldcorp shareholders, who have experienced a value loss of nearly 53% since 2006 under Telfer.

BCI holds 3.85 million shares in Goldcorp and a small stake in Newmont, according to Bloomberg News.

The announcement comes after fellow shareholder Paulson & Co. Inc. opposed the deal, claiming that it would only benefit Goldcorp shareholders.