TORONTO, Oct. 04, 2016 (GLOBE NEWSWIRE) -- Sprott Asset Management LP (“Sprott”) is pleased to announce that the Sprott 2016-II Flow-Through Limited Partnership (the "Partnership") has completed the first closing in connection with its offering of limited partnership units (the “Units”) pursuant to a prospectus dated September 22, 2016. The Partnership issued 819,389 units for gross proceeds of $20,484,725. The Partnership will have a second and final closing in respect of the Units on or about October 27, 2016. The Units are being offered at a price per Unit of $25.00 with a minimum subscription of 200 Units ($5,000).
Investment Objective of the Partnership
The Partnership’s investment objective is to achieve capital appreciation and significant tax benefits for Limited Partners by investing in a diversified portfolio of Flow-Through Shares and other securities, if any, of Resource Issuers.
Attractive Tax-Reduction Benefits
Flow-through partnerships are one of the most effective tax reduction strategies available to Canadians. Sprott anticipates that investors participating in the Partnership will be eligible to receive a tax deduction of approximately 100% of the amount invested.
The Partnership will be managed by Sprott, one of Canada’s leading investors in small and mid- cap resource companies, with approximately $7.1 billion (as at June 30, 2016) dedicated to investments in natural resources. Over its long history of investing in the resource sector, Sprott has developed relationships with hundreds of companies. Its experienced team of portfolio managers is supported by a team of technical experts with extensive backgrounds in mining and geology.
Portfolio manager Jason Mayer will manage the Partnership and will be supported by Sprott’s broader team of experienced resource investment professionals.
The offering is being made through a syndicate of agents co-led by RBC Capital Markets, CIBC World Markets Inc., Scotia Capital Inc. and TD Securities Inc., and includes BMO Nesbitt Burns Inc., National Bank Financial Inc., GMP Securities L.P., Manulife Securities Incorporated, Raymond James Ltd., Sprott Private Wealth LP, Canaccord Genuity Corp. and Desjardins Securities Inc.
About Sprott Asset Management LP
Sprott Asset Management LP is a leading independent asset management company headquartered in Toronto, Canada. The company manages the Sprott family of mutual funds, hedge funds, physical bullion funds and specialty products and is dedicated to achieving superior returns for its investors over the long term. The company also manages discretionary managed accounts. Please visit us at www.sprott.com to learn more about our investment professionals and their market insights.
Certain statements included in this news release constitute forward-looking statements, including, but not limited to, those identified by the expressions “expects”, “intends”, “anticipates”, “will” and similar expressions to the extent that they relate to the Partnership. The forward-looking statements are not historical facts but reflect the General Partner’s and Sprott’s current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Although the General Partner and Sprott believe the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. Neither the General Partner nor Sprott undertake any obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law.
This offering is only made by prospectus. The Partnership’s prospectus contains important detailed information about the securities being offered. Copies of the prospectus may be obtained from your IIROC registered financial advisor. Investors should read the prospectus before making an investment decision.
Source: Sprott Asset Management