Sprott Comments on Alberta Court Ruling Regarding Central Fund of Canada

Sprott Asset Management has commented on the recent ruling by the Alberta Court against a requisition by Class A shareholders of the Central Fund of Canada. Sprott added that its exchange offers for the Central GoldTrust and Silver Bullion Trust are not affected by events at the Central Fund of Canada.
Sprott Asset Management CEO, John Wilson, said:

It is unfortunate that the Alberta Court has ruled that the requisition by Class A shareholders of CEF was invalid on technical grounds. While Sprott strongly disagrees with this ruling and is considering its options, the next step for Class A shareholders is whether CEF’s Special Committee and its Board chooses to cancel its currently scheduled special meeting of Class A shareholders and deny them the opportunity to express their desire for change of the Spicer-controlled administrator marked by conflicts and mismanagement. Cancelling a meeting requested by a significant number of Class A shareholders representing more than 15 million of the outstanding Class A shares of CEF would only highlight the conflicts and the Board’s commitment to ensuring that the Spicer-controlled administrator continues to receive fees while all other stakeholders are forced to endure persistent underperformance and value destruction.

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