Minto Metals Corp (TSX-V:MNTO) has announced that Lion Point Capital LP has established a $100,000 automatic securities purchase plan (ASPP) with a registered broker to purchase Minto shares in the open market at a maximum purchase price of $2.00 each.
The ASPP by the significant sharehodler will be effective for a period of 12-months starting around November 30, 2022, and ending around November 30, 2023, and the date on which a maximum of 100,000 shares of Minto have been purchased. Purchases under the ASPP will be determined by the broker in its sole discretion, without consultation with Minto.
Lion Point manages Cedro Holdings I, LLC, which holds 20,076,288 or 27.5% of the issued and outstanding shares of Minto. As Lion Point beneficially owns over 20% of the issued and outstanding shares of Minto, any purchases of Minto shares by Lion Point under the ASPP are subject to compliance with the take-over bid exemption under Section 4.1 of National Instrument 62-104 –Take-Over Bids and Issuer Bidsm which requires, among others, that all purchases by Lion Point under the ASPP, together with its affiliates and any others acting jointly or in concert with Lion Point, cannot in the aggregate exceed 5% of the outstanding shares of Minto on a rolling 12-month basis.
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“Under the ASPP, insiders are not permitted to exercise any further discretion or influence over how, when or whether the purchase of shares of Minto will occur. An ASPP can only be established when the insider participating in the plan is not in possession of material non-public information,” the company said.
Minto operates the producing Minto mine located within the traditional territory of the Selkirk First Nation in the Minto Copper Belt of the Yukon. The Minto mine has been in operation since 2007 with underground mining commencing in 2014. Since 2007, approximately 500 million pounds of copper have been produced from the Minto mine.
Contact the author at jon.hopkins@proactiveinvestors.com