Sprott Physical Platinum and Palladium Trust Updates Its “At-the-Market” Equity Program
August 16 2022 - 10:40PM
Sprott Asset Management LP (“Sprott Asset Management”), a
subsidiary of Sprott Inc., on behalf of the Sprott Physical
Platinum and Palladium Trust (NYSE: SPPP) (TSX: SPPP / SPPP.U) (the
“Trust”), a closed-ended mutual fund trust created to invest and
hold substantially all of its assets in physical platinum and
palladium bullion, today announced that it has updated its
at-the-market equity program to issue up to US$100 million of units
of the Trust (“Units”) in the United States and Canada.
Distributions under the at-the-market equity
programs in the United States and Canada (together, the “ATM
Program”) will be completed in accordance with the terms of an
amended and restated sales agreement (the “Sales Agreement”) dated
October 21, 2020 between Sprott Asset Management (as the manager of
the Trust), the Trust, Cantor Fitzgerald & Co. (“CF&Co”),
Virtu Americas LLC (“Virtu” and together with CF&Co, the “U.S.
Agents”) and Virtu ITG Canada Corp., as amended on August 16, 2022
(the “Canadian Agent” and together with the U.S. Agents, the
“Agents”). The Sales Agreement is available on EDGAR at the SEC’s
website at www.sec.gov and the SEDAR website maintained by the
Canadian Securities Administrators at www.sedar.com.
Sales of Units through the Agents, acting as
agent, will be made through “at the market” issuances on the NYSE
Arca (“NYSE”) and the Toronto Stock Exchange (“TSX”) or other
existing trading markets in the United States and Canada at the
market price prevailing at the time of each sale, and, as a result,
sale prices may vary. Neither U.S. Agent is registered as a dealer
in any Canadian jurisdiction and, accordingly, the U.S. Agents will
only sell Units on marketplaces in the United States and are not
permitted to and will not, directly or indirectly, advertise or
solicit offers to purchase any Units in Canada. The Canadian Agent
may only sell Units on marketplaces in Canada.
The volume and timing of distributions under the
ATM Program, if any, will be determined in the Trust's sole
discretion. The Trust intends to use the proceeds from the ATM
Program, if any, to acquire physical gold bullion in accordance
with the Trust's objective and subject to the Trust's investment
and operating restrictions.
The offering under the ATM Program is being made
pursuant to a prospectus supplement dated August 16, 2022 (the
“U.S. Prospectus Supplement”) to the Trust’s U.S. base prospectus
(the “U.S. Base Prospectus”) included in its registration statement
on Form F-10 (the “Registration Statement”) (File No. 333-266898)
filed with the United States Securities and Exchange Commission
(the “SEC”) on August 15, 2022, and pursuant to a prospectus
supplement dated August 16, 2022 (the “Prospectus Supplement”) to
the Trust's Canadian short form base shelf prospectus dated August
15, 2022 (the “Base Shelf Prospectus” and together with the
Prospectus Supplement, the U.S. Prospectus Supplement, the U.S.
Base Prospectus and the Registration Statement, the “Offering
Documents”). The U.S. Prospectus Supplement, the U.S. Base
Prospectus and the Registration Statement are available on EDGAR at
the SEC's website at www.sec.gov, and the Prospectus Supplement and
the Base Shelf Prospectus are available on the SEDAR website
maintained by the Canadian Securities Administrators at
www.sedar.com.
Before you invest, you should read the Offering
Documents and other documents that the Trust has filed for more
complete information about the Trust, the Sales Agreement and the
ATM Program.
Listing of the Units sold pursuant to the ATM
Program on the NYSE and the TSX will be subject to fulfilling all
applicable listing requirements.
This press release shall not constitute an offer
to sell or a solicitation of an offer to buy, nor shall there be
any sale of these securities in any jurisdiction in which an offer,
solicitation or sale would be unlawful prior to registration or
qualifications under the securities laws of any such
jurisdiction.
About Sprott Asset Management and the
TrustSprott Asset Management, a subsidiary of Sprott Inc.,
is the investment manager to the Trust. Important information about
the Trust, including its investment objectives and strategies,
applicable management fees, and expenses, is contained in the
Trust's annual information form for the year ended December 31,
2021 (the “AIF”), which can be found on
www.sprottphysicalbullion.com, in the U.S. on www.sec.gov and in
Canada on www.sedar.com. Commissions, management fees, or other
charges and expenses may be associated with investing in the Trust.
The performance of the Trust is not guaranteed, its value changes
frequently and past performance is not an indication of future
results.
To learn more about the Trust, please visit
www.sprottphysicalbullion.com.
Caution Regarding Forward-Looking
StatementsThis press release contains forward-looking
statements within the meaning of applicable United States
securities laws and forward-looking information within the meaning
of Canadian securities laws (collectively, “forward-looking
statements”). Forward-looking statements in this press release
include, without limitation, statements regarding the ATM Program,
including the intended use of proceeds from any sale of Units and
the timing and ability of the Trust to obtain all necessary
regulatory approvals. With respect to the forward-looking
statements contained in this press release, the Trust has made
numerous assumptions regarding, among other things: the price of
gold and anticipated costs and the impact of the COVID-19 pandemic
on the Trust's business, financial condition and results of
operations. While the Trust considers these assumptions to be
reasonable, these assumptions are inherently subject to significant
business, economic, competitive, market and social uncertainties
and contingencies. Additionally, there are known and unknown risk
factors that could cause the Trust's actual results, performance or
achievements to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking statements contained in this press release. A
discussion of risks and uncertainties facing the Trust appears in
the AIF, and the Offering Documents, each as updated by the Trust's
continuous disclosure filings, which are available at www.sec.gov
and www.sedar.com. All forward-looking statements herein are
qualified in their entirety by this cautionary statement, and the
Trust disclaims any obligation to revise or update any such
forward-looking statements or to publicly announce the result of
any revisions to any of the forward-looking statements contained
herein to reflect future results, events or developments, except as
required by law.
For more information:
Glen WilliamsManaging Director, Investor and
Institutional Client RelationsTel: 416.943.4394Email:
gwilliams@sprott.com
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