Fasken advised Elemental Royalties Corp. (TSXV: ELE) (the "Issuer" or "Elemental"), a gold-focused royalty company, with its acquisition of a portfolio of royalties from a wholly owned subsidiary of South32 Limited ("South32"). In connection with the transaction, Elemental made a US$40M cash payment and issued US$15M in Elemental shares to South32. Following completion of the transaction, South32 will hold an approximate 19.7 percent stake in Elemental and South32 will also have a director appointed to the board of the Issuer (the "Acquisition").
The Acquisition was satisfied in part through the proceeds of the previously announced "bought deal" private placement of an aggregate of 10,748,132 subscription receipts of the Issuer (the "Subscription Receipts") at a price of C$1.50 per Subscription Receipt, for gross proceeds of approximately C$16.1 million. Canaccord Genuity Corp acted as lead underwriter for the offering, on behalf of a syndicate of underwriters including Haywood Securities Inc., Scotia Capital Inc. and Sprott Capital Partners LP. In connection with the Acquisition, Elemental also entered into an amended and restated credit agreement (the "Sprott Facility") with Sprott Private Resource Lending II (Collector), LP ("Sprott") and issued 653,255 common shares to Sprott.
Elemental was advised by a team of Fasken lawyers led by John Sabetti which included Laura Konkel, Gurinder (Gigi) Gujral, Krysten Zaytor (M&A), Aaron Stefan, Martin Owusu, KC Miu (Banking) and Mitch Thaw (Tax).
The Acquisition was satisfied in part through the proceeds of the previously announced "bought deal" private placement of an aggregate of 10,748,132 subscription receipts of the Issuer (the "Subscription Receipts") at a price of C$1.50 per Subscription Receipt, for gross proceeds of approximately C$16.1 million. Canaccord Genuity Corp acted as lead underwriter for the offering, on behalf of a syndicate of underwriters including Haywood Securities Inc., Scotia Capital Inc. and Sprott Capital Partners LP. In connection with the Acquisition, Elemental also entered into an amended and restated credit agreement (the "Sprott Facility") with Sprott Private Resource Lending II (Collector), LP ("Sprott") and issued 653,255 common shares to Sprott.
Elemental was advised by a team of Fasken lawyers led by John Sabetti which included Laura Konkel, Gurinder (Gigi) Gujral, Krysten Zaytor (M&A), Aaron Stefan, Martin Owusu, KC Miu (Banking) and Mitch Thaw (Tax).
Jurisdictions
- Ontario
- British Columbia
