Canadian private equity firm Sprott Resource Corp has sold shares in Stonegate Agricom Ltd, a Toronto-based acquirer and developer of agricultural nutrient projects. The interest sold, said to represent about 16.7 percent of Stonegate’s total issued and outstanding common shares, gave the investor gross proceeds of about $1.2 million. Another investor, Zaff 2 LP, announced it acquired a comparably-sized stake.
Sprott Resource Corp. Announces Sale of Shares of Stonegate Agricom Ltd.
TORONTO, Aug. 04, 2016 (GLOBE NEWSWIRE) — Sprott Resource Corp. (“SRC”) (TSX:SCP) announced today that, through Sprott Resource Partnership (“SRP”), it sold 70,950,462 common shares of Stonegate Agricom Ltd. (“Stonegate”) (TSX:ST) today at a price of $0.0175 per common share (the “Sale”), representing aggregate gross proceeds to SRC of $1,241,633.09. Based on information contained in documents publically filed by Stonegate, the Shares sold represented approximately 16.7% of the total issued and outstanding common shares of Stonegate (“Shares”). Following the Sale, SRC has ceased to own, directly or indirectly, or have control or direction over, any Shares.
Stonegate’s head office address is 20 Adelaide Street East, 13th Floor, Toronto, Ontario.
SRC disposed of beneficial ownership of the Shares for investment purposes. SRC may, directly or indirectly, purchase, and subsequently sell, securities of Stonegate in the future on the open market, in private transactions or otherwise, depending on market conditions and other factors material to the investment decisions of SRC.
About Sprott Resource Corp.
SRC is a publically-listed private equity firm focused on the natural resource sector. The company currently has investments in energy exploration, production and services, mining and agriculture. SRC creates value for its investors by applying a disciplined investment process to deploy capital while managing risk within highly cyclical sectors. SRC is a business builder that is committed to being a value-added partner with proven management teams. SRC supports its investments through active management and the provision of long-term capital, as well as strategic, financial and governance oversight. Founded in 2007, the Company is based in Toronto, Canada and is managed by an experienced team of private equity specialists, supported by the technical and investment resources of Sprott Inc. and its subsidiaries and affiliates. Management of SRC is dedicated to generating long-term superior returns on capital for its shareholders, while focusing on risk management and real wealth preservation. To learn more, please visit www.sprottresource.com.
Forward-Looking Information and Statements
Certain statements in this press release contain forward-looking information (collectively referred to herein as the “Forward-Looking Statements”) within the meaning of applicable securities laws. In particular, this news release contains Forward-Looking Statements pertaining to SRC’s and SRP’s future intentions regarding the purchase or sale of securities of Stonegate. Forward-Looking Statements are based on a number of expectations or assumptions which have been used to develop such statements and information but which may prove to be incorrect. Although SRC believes the expectations and assumptions reflected in such Forward-Looking Statements are reasonable, undue reliance should not be placed on Forward-Looking Statements because SRC can give no assurance that such expectations and assumptions will prove to be correct. The Forward-Looking Statements included in this news release are not guarantees of future performance and should not be unduly relied upon. Such information and statements, including the assumptions made in respect thereof, involve known and unknown risks, uncertainties and other factors, which may cause actual results or events to differ materially from those anticipated in such Forward-Looking Statements, including, without limitation, those listed under the heading “Risk Factors” in SRC’s annual information form dated March 4, 2016. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the Forward-Looking Statements prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the Forward-Looking Statements contained in this news release.
The Forward-Looking Statements contained in this news release speak only as of the date of this news release, and SRC does not assume any obligation to publicly update or revise any of the included Forward-Looking Statements, whether as a result of new information, future events or otherwise, except as may be expressly required by applicable securities laws.
For further information or to obtain a copy of SRC’s early warning report filed pursuant to National Instrument 62-103 with respect to the Sale, please contact:
Director of Communications
Sprott Resource Corp.
Sprott Resource Corp.
Photo courtesy of Stonegate Agricom Ltd