DENVER, April 27, 2015 /CNW/ - ROYAL GOLD, INC. ("Royal Gold" or the
"Company") (NASDAQ: RGLD; TSX: RGL) and its wholly-owned
subsidiaries RGLD Gold (Canada)
Inc. ("Callco") and RG Exchangeco Inc. ("Canco") announced today
that the directors of Canco have established June 30, 2015 as the redemption date (the
"Redemption Date") for the outstanding exchangeable shares in the
capital of Canco ("Exchangeable Shares") and Callco has exercised
its redemption call right and will acquire all of the outstanding
Exchangeable Shares on the Redemption Date.
The Exchangeable Shares were issued in conjunction with the
acquisition of International Royalty Corporation by Royal Gold and Canco on February 22, 2010. The terms of the
Exchangeable Shares permit their redemption on a date to be
established by the directors of Canco once there are fewer than
750,000 Exchangeable Shares outstanding (other than shares held by
Royal Gold or its affiliates).
As of April 20, 2015, there were
approximately 5,000 Exchangeable Shares outstanding.
On the Redemption Date, holders of Exchangeable Shares will be
entitled to receive, for each Exchangeable Share held, one share in
the capital stock of Royal Gold plus
any declared and unpaid dividends on an Exchangeable Share held by
a holder on a dividend record date which occurred prior to the date
of the acquisition of such share by Callco. On and after the
Redemption Date, former holders of the Exchangeable Shares
will no longer be entitled to exercise any of the rights of holders
in respect thereof, other than the entitlement to the foregoing
consideration.
A cover letter from Canco providing additional information with
respect to the purchase of the Exchangeable Shares, along with a
Notice of Exercise of Redemption Call Right and a Letter of
Transmittal, will be mailed today to registered holders of the
Exchangeable Shares. Copies of such documents will be filed on the
Canadian System for Electronic Document Analysis and Retrieval
(SEDAR) at www.sedar.com.
Computershare Investor Services Inc. will act as depositary in
connection with the purchase of the Exchangeable Shares by
Callco.
About Royal Gold, Inc.
Royal Gold is a precious metals
royalty and stream company engaged in the acquisition and
management of precious metal royalties, streams, and similar
production based interests. The Company owns interests on 193
properties on six continents, including interests on 37 producing
mines and 21 development stage projects. Royal Gold is publicly traded on the NASDAQ
Global Select Market under the symbol "RGLD," and on the Toronto
Stock Exchange under the symbol "RGL." The Company's website
is located at www.royalgold.com.
SOURCE Royal Gold, Inc.