Sprott Asset Management LP, a subsidiary of Sprott Inc., made an announcement regarding the Sprott Physical Gold Trust’s updated at-the-market equity program. The Trust, established as a closed-ended mutual fund trust to invest in physical gold bullion, revealed plans to issue an additional $1 billion of units in the United States and Canada under the updated program. This update follows the release of a prospectus supplement on April 11, 2025, supplementing the short form base shelf prospectus from September 6, 2024.
Under the amended and restated sales agreement dated December 6, 2024, the Trust will work with various agents in the U.S. and Canada, including Cantor Fitzgerald & Co., Virtu Americas LLC, BMO Capital Markets Corp., and Canaccord Genuity LLC, to distribute units through the at-the-market issuances on the NYSE and the Toronto Stock Exchange. These sales will be conducted at prevailing market prices, with the U.S. agents selling units solely in the U.S. and the Canadian agents limited to selling in Canada.
The Trust retains sole discretion over the volume and timing of distributions under the equity program, with the intention to use the proceeds to acquire physical gold bullion in line with its investment objectives. The offering is conducted under the U.S. Prospectus Supplement to the Trust’s U.S. base prospectus filed with the SEC, and the Trust’s Canadian Supplement and Base Shelf Prospectus are available on the SEDAR+ website.
Potential investors are advised to review the Offering Documents and related filings for comprehensive information on the Trust, the equity program, and associated risks. Listing of units on the NYSE and TSX will be subject to meeting listing requirements.
It’s important to note that this press release does not constitute an offer to sell securities in jurisdictions where such actions would be unlawful without proper registration or qualification. The Trust urges caution when considering forward-looking statements, emphasizing the uncertainties and risks inherent in such predictions.
Sprott Asset Management, the investment manager to the Trust, is recognized for its expertise in precious metals and critical materials investments, operating globally with specialized investment strategies. The Trust’s investment objectives, management fees, and expenses are detailed in its annual information form, cautioning that past performance is not indicative of future results.
Overall, the Trust’s decision to update its equity program reflects a strategic move to leverage market opportunities and meet investor demands while maintaining transparency and compliance with regulatory requirements. As the gold market continues to evolve, such initiatives play a crucial role in optimizing investment strategies and maximizing returns for stakeholders.
🔗 Reddit Discussions
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