Sprott Inc. Announces Share Consolidation and Application to List on New York Stock Exchange
May 26 2020 - 7:00AM
Sprott Inc. (“Sprott” or the “Company”) (TSX: SII) announced today
that it has filed a Registration Statement on Form 40-F (the
“Registration Statement”) with the United States Securities and
Exchange Commission (“SEC”) and submitted a listing application
(the “Listing Application”) with the New York Stock Exchange
(“NYSE”). The Registration Statement and Listing Application will
allow Sprott to pursue a dual listing of its common shares on the
NYSE to complement its current listing on the Toronto Stock
Exchange (“TSX”).
In connection with the proposed listing on the
NYSE, and as previously authorized by its shareholders, the
Company, following a determination by its Board of Directors, has
filed articles of amendment implementing a consolidation of its
outstanding common shares on the basis of one (1)
post-consolidation common share for every ten (10)
pre-consolidation common shares. The Company’s common shares are
expected to commence trading on the TSX on a post-consolidation
basis beginning at the open of markets on or about May 28, 2020.
The Company currently anticipates that, subject to the receipt of
all required approvals, its common shares will commence trading on
the NYSE prior to the end of the second quarter under the symbol
"SII". The consolidation has reduced the number of issued and
outstanding common shares from 253,556,869 to 25,355,686.
Peter Grosskopf, CEO of Sprott, stated, “Our
planned listing on the NYSE represents an important milestone
for Sprott as we believe it will create greater exposure
for the Company and attract an expanded and
diverse group of institutional and retail investors
in the United States. As the large majority of our clients reside
in the United States, the listing will allow us to more fully
explore synergies between our client base and shareholders.”
The Registration Statement has not yet become
effective. Any listing of Sprott’s common shares on the NYSE will
be subject to the SEC declaring the Registration Statement
effective and to Sprott attaining the approval of the NYSE. The
Company cannot provide any assurance that it will be successful in
achieving a listing of its common shares on the NYSE.
Registered shareholders of the Company have been
mailed a letter of transmittal by the Company’s transfer agent, TSX
Trust Company. The letter of transmittal is used by registered
shareholders to exchange their pre-consolidation share certificates
for post-consolidation certificates. Until surrendered, each share
certificate representing pre-consolidation common shares will
represent the number of whole post consolidation common shares to
which the holder is entitled as a result of the consolidation.
For further details on the consolidation and
listing on the NYSE, please refer to the management information
circular dated March 18, 2020 available under the Company’s profile
on the System for Electronic Document Analysis and Retrieval
(SEDAR) at www.sedar.com.
About Sprott
Sprott is an alternative asset manager and a
global leader in precious metal investments. Through its
subsidiaries in Canada, the US and Asia, Sprott is dedicated to
providing investors with specialized investment strategies that
include Exchange Listed Products, Lending, Managed Equities and
Brokerage. Sprott’s common shares are listed on the Toronto Stock
Exchange under the symbol (TSX: SII). For more information, please
visit www.sprott.com.
Forward Looking Statements
This press release contains statements that
constitute “forward-looking information” (collectively,
“forward-looking statements”) within the meaning of applicable
securities laws. Often, but not always, forward-looking statements
can be identified by the use of words such as “plans”, “expects”,
“is expected”, “estimates”, “anticipates”, or “believes” or
variations (including negative variations) of such words and
phrases, or state that certain actions, events or results “may”,
“could”, “would”, “might” or “will” be taken, occur or be
achieved.
The forward-looking statements herein are made
as of the date of this press release only, and the Company does not
assume any obligation to update or revise them to reflect new
information, estimates or opinions, future events or results or
otherwise, except as required by applicable law. Forward-looking
statements in this press release include statements about the
approval of the NYSE for the trading of the post-consolidation
common shares, the timing of the expected commencement of trading
of the post-consolidation common shares on the TSX and the NYSE and
the satisfaction of any conditions relating thereto.
Although the Company believes the
forward-looking statements in this press release are reasonable, it
can give no assurance that the expectations and assumptions in such
statements will prove to be correct. The Company cautions investors
that any forward-looking statements by the Company are not
guarantees of future results, and that actual results may differ
materially from those in forward-looking statements as a result of
various factors, including, but not limited to, the following:
announcement or implementation of the consolidation may adversely
affect the market price of the common shares; the NYSE may not
approve the listing of the consolidated common shares or the
commencement of trading of the consolidated common shares on either
or both of the TSX and the NYSE may be delayed; the liquidity and
market price of the common shares and the Company’s ability to
raise capital may be adversely affected if the Company is unable to
maintain its listing on the NYSE; the impact of any escalation in
the severity of the COVID-19 pandemic on the implementation of the
consolidation or the NYSE listing; and the other risks described
under the headings "Managing Risk: Financial" and "Managing Risk:
Non-Financial" in the Company’s MD&A for the period ended
December 31, 2019. As a result, readers should not place undue
reliance on the forward-looking statements contained in this press
release.
Investor contact
information:Glen WilliamsManaging Director, Investor
Relations & Corporate Communications(416)
943-4394gwilliams@sprott.com
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