SEDI filings Can somebody please shed some light on this? Does anyone have any experience with "SEDI filings"?
Eric Sprott announced on Thursday September 20, 2018 that he purchased 561,000 common shares (representing approximately 0.1% of the outstanding shares) of Royal Nickel Corporation. The shares were purchased at $0.4284 per share for total consideration of $240,332.
Mr. Sprott now beneficially owns and controls 40,216,042 shares representing approximately 10.1% of the outstanding shares of RNC Minerals on a non-dilutes basis. Prior to the foregoing sales, he beneficially owned and controlled 39,655,042 shares representing 9.9% of the outstanding shares of RNC Minerals on a non-diluted basis.
This whole announcement seems so weird, why would you accumulate only 0.1% ?
The only thing I can think of is that he only acquired 0.1% at that time because of "SEDI filing requirements" :
When you start to own 10% of the shares you have to announce it within 10 days.
But (from my understanding, correct me if I am wrong) after that 10% announcement there are different rules in place regarding "SEDI filing requirements" :
"An “eligible institutional investor” is required to file an Alternative Report within 10 days of the
end of each month in which the “eligible institutional investor” increases or decreases its
percentage holdings of a reporting issuer past 2.5% thresholds that are equal to, or in
excess of 10%, namely 10%, 12.5%, 15%, 17.5% and 20%. "
So basically, if he wants to accumelate a lot of shares he can now do it from October 1st all the way to November 10, and wait with announcing it until November 10 (because of "within 10 days of the end of each month").
(all the way till November 10, that gives Eric a lot of time to visit the mine, receive more company news, talk to his geologists / mining experts / accountants etc., free up some money and accumulate more Royal Nickel stocks before it becomes public)
So my guess is that on November 10 we will see another filing from Eric? :-)
Or am I completely wrong about this?