TORONTO, July 12, 2013 /CNW/ - Sprott Resource Lending Corp. (the
"Company" or "Sprott Resource Lending") (TSX:SIL) (NYSE MKT:SILU)
announced today that it intends to delist its common shares from the
Toronto Stock Exchange and the New York Stock Exchange MKT ("NYSE
MKT") following completion of its previously announced plan of
arrangement with Sprott Inc. (TSX:SII) (the "Arrangement"), which is
expected to close on July 24, 2013, subject to the receipt of requisite
shareholder and judicial approvals. The Company will also apply to
cease to be a reporting issuer in each province and territory of Canada
and deregister from the reporting requirements of the U.S. Securities
Exchange Act of 1934, as amended (the "Exchange Act"). The Company is
taking these actions as a result of the consequences of the
Arrangement, which include the fact that after closing the Arrangement,
Sprott Inc. will hold all of the common shares of the Company. The
Company does not intend to list its common shares on any other
exchange.
Closing of the Arrangement is subject to the approval of shareholders of
the Arrangement at the Company's annual and special meeting of
shareholders (the "Meeting"), which is being held on July 18, 2013, and
receipt of a final order from the Ontario Superior Court of Justice
approving the Arrangement at a hearing scheduled for 10:00 a.m.
(Toronto time) on July 19, 2013.
The Company intends to file a Form 25 with the the U.S. Securities and
Exchange Commission (the "SEC") on or about July 24, 2013 to delist its
common shares from the NYSE MKT and to deregister the Company's common
stock under the Exchange Act. The Company expects that the trading of
its common shares on the NYSE MKT will be suspended on the date the
Form 25 is filed, with the official delisting of the Company's common
shares becoming effective ten days thereafter. The Company shall also
file a Form 15 with the SEC to suspend the Company's reporting
requirements under Section 15(d) of the Exchange Act. Upon filing of
the Form 15, the Company will no longer be obligated to file certain
Exchange Act reports with the SEC.
About Sprott Resource Lending
Sprott Resource Lending (www.sprottlending.com) specializes in lending to resource companies on a global basis.
Headquartered in Toronto, the Company seeks to generate income from
lending activities as well as the upside potential of bonus
arrangements with borrowers generally tied to the underlying property
or shares of the borrower. Pursuant to a management services agreement
and a partnership agreement, Sprott Lending Consulting Limited
Partnership ("SLCLP") provides Sprott Resource Lending day to day
business management as well as other management and administrative
services. SLCLP is a wholly owned subsidiary of Sprott Inc. (www.sprottinc.com), the parent of Sprott Asset Management LP (www.sprott.com). For more information about Sprott Resource Lending, please visit
SEDAR (www.sedar.com).
Caution Regarding Forward-Looking Statements and Information
This document includes certain statements that constitute
"forward-looking statements" and "forward-looking information" within
the meaning of applicable securities laws (collectively,
"forward-looking statements"). These statements include statements
regarding Sprott Resource Lending's intent, or the beliefs or current
expectations of Sprott Resource Lending's officers and directors. Such
statements are typically identified by words such as "believe",
"anticipate", "estimate", "project", "intend", "expect", "may", "will",
"plan", "should", "would", "contemplate", "possible", "attempts",
"seeks" and similar expressions. Forward-looking statements may relate
to Sprott Resource Lending's future outlook and anticipated events or
results.
By their very nature, forward-looking statements involve numerous
assumptions, inherent risks and uncertainties, both general and
specific, and the risk that predictions and other forward-looking
statements will not prove to be accurate. Do not unduly rely on
forward-looking statements, as a number of important factors, many of
which are beyond Sprott Resource Lending's control, could cause actual
results to differ materially from the estimates and intentions
expressed in such forward-looking statements. These factors include,
but are not limited to: (a) the inability of Sprott Resource Lending to
obtain (i) approval of the Arrangement by the court and the other
regulatory approvals, and (ii) approval of the Arrangement by the
shareholders at the Meeting; and (b) the occurrence of any other event,
change or other circumstance that could give rise to the termination of
the arrangement agreement dated May 8, 2013 between the Company and
Sprott Inc., or the delay of consummation of the Arrangement or failure
to complete the Arrangement for any other reason.
Forward-looking statements speak only as of the date those statements
are made. Except as required by applicable law, Sprott Resource Lending
does not assume any obligation to update, or to publicly announce the
results of any change to, any forward-looking statement contained
herein to reflect actual results, future events or developments,
changes in assumptions or changes in other factors affecting the
forward-looking statements.
SOURCE: Sprott Resource Lending Corp.
