Eric Sprott Announces Holdings in Kootenay Resources Inc. Toronto, Ontario--(Newsfile Corp. - November 4, 2021) - Eric Sprott announces that he acquired common shares of Kootenay Resources Inc. (KR Shares) pursuant to the closing of the plan of arrangement (Arrangement) between Kootenay Resources and Kootenay Silver Inc., on October 29, 2021, as announced by them on November 2, 2021.
Pursuant to the Arrangement, among other things, the holders of common shares of Kootenay Silver received one new common share of the Kootenay Silver (each, a New KS Share) and 0.04 KR Shares, and each common share purchase warrant of Kootenay Silver (each a KS Warrant) was amended to entitle the holder to receive upon due exercise for the original exercise price, one New KS Share and 0.04 KR Shares.
As a result of the Arrangement, Mr. Sprott through, 2176423 Ontario Ltd., received 1,206,000 KR Shares (as well as New KS Shares) and upon exercise of 16,835,000 KS Warrants currently held, will be entitled to acquire 675,000 KR Shares (as well as New KS Shares) representing approximately 7.5% of the outstanding KR Shares on a non-diluted basis and approximately 11.3% of the outstanding KR Shares on a partially diluted basis assuming exercise of the KS Warrants. Prior to the Arrangement, Mr. Sprott did not beneficially own or control any securities of Kootenay Resources.
The securities noted above are held for investment purposes. Mr. Sprott has a long-term view of the investment and may acquire additional securities including on the open market or through private acquisitions or sell the securities including on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors.
https://www.newsfilecorp.com/release/102117