TORONTO, Nov. 19, 2020 (GLOBE NEWSWIRE) -- Stroud Resources Ltd. (TSXV-SDR) (“ Stroud ” or “ Company ”) is pleased to announce that it held an annual and special meeting of its shareholders on November 13, 2020 (the “ Meeting ”) in order to, among other things, approve the private placement of July 30, 2020 where 7,500,000 Units of the Company were purchased by 2176423 Ontario Ltd., a corporation which is beneficially owned by Mr. Eric Sprott as more particularly described in the press release of the Company dated July 30, 2020 (the “ Private Placement ”).
The issuance of the Units pursuant to the Private Placement is considered to be a “related party transaction” as defined within Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions . After correspondence with the Ontario Securities Commission, the Company determined that as the Private Placement would have a value of more than 25% of the market capitalization of the Company at June 30, 2020, the Company would not be able to rely on the exemption from the minority shareholder approval. As a result, the Company sought minority shareholder approval and ratification of the Private Placement at the Meeting. The minority shareholders of the Company approved the Private Placement with 8,264,868 votes in favour the resolution being 99.97% of the votes cast at the Meeting.
At the Meeting, Howard Atkinson, Grant Walsh, Scott Jobin-Bevans and Mirsad Jakubovic were all re-elected to the Board of Directors.
About Stroud Resources Ltd.
Stroud Resources is a TSXV listed company focused on the exploration and development of its Santo Domingo epithermal silver-gold project in central Mexico.
For more information please visit www.stroudsilver.com
ON BEHALF OF THE BOARD OF DIRECTORS OF STROUD RESOURCES LTD.
Mirsad Jakubovic
CFO and Director
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