RE:Friedland's ownershipPer Stockwatch:
Ms. Penny Schattenkirk reports
EARLY WARNING REPORT FILED PURSUANT TO NATIONAL INSTRUMENT 62-103
On Jan. 26, 2016, Newstar Securities SRL, a company wholly owned by Robert M. Friedland, exercised 68,727,195 rights issued to it by Peregrine Diamonds Ltd. in full, resulting in the subscription of 17,181,798 common shares of Peregrine for 10 cents per common share.
As a result of the exercise of rights, Newstar now has actual beneficial ownership of 85,908,993 common shares, representing 25.34 per cent of Peregrine's outstanding common shares.
Depending on economic or market conditions or matters relating to Peregrine, Newstar may choose to either acquire additional common shares or dispose of common shares of Peregrine.
Newstar reported in a press release dated Dec. 7, 2015, that its deemed beneficial ownership of Peregrine common shares following the close of Peregrine's rights offering would be 28.65 per cent. Upon completion of the rights offering, Newstar's actual beneficial ownership is 25.34 per cent. A copy of the early warning report filed under applicable Canadian provincial securities legislation in connection with this acquisition is available under Peregrine's profile on the SEDAR website.