TORONTO, Feb. 15, 2012 /CNW/ - Sprott 2012 Corporation (the "General
Partner") is pleased to announce that Sprott 2012 Flow-Through Limited
Partnership (the "Partnership") has completed the first closing of its
initial public offering of limited partnership units. The Partnership
sold 924,181 units for gross proceeds of $23,104,525. The Partnership
will have a second closing on or about March 15, 2012. The price per
unit is $25.00 and the offering will be capped at $100 million.
Investment Objective of the Partnership
The Partnership's investment objective is to provide for a tax-assisted
investment in a diversified portfolio of flow-through shares and other
securities, if any, of resource issuers with a view to achieving
capital appreciation and significant tax benefits for limited partners.
Attractive Tax-Reduction Benefits
Flow-through partnerships are one of the most effective tax-reduction
strategies that remain available to Canadians. Sprott Asset Management
LP ("Sprott" or the "Manager"), the manager of the Partnership,
anticipates that investors purchasing Units of the Partnership will be
eligible to receive a tax deduction in 2012 that is approximately 100%
of the amount invested in the Partnership, based on certain assumptions
set forth in the Partnership's prospectus dated January 27, 2012.
The Partnership will be managed by Sprott, an independent asset
management company that is dedicated to achieving superior returns for
its clients over the long term. Portfolio managers Allan Jacobs, Eric
Nuttall and Jamie Horvat will co-manage the Partnership and will be
supported by Eric Sprott, Charles Oliver, Paul Wong and Rick Rule. As
at December 31, 2011, Sprott had $9.1 billion in assets under
management in various mutual funds and hedge funds, including
approximately $8.0 billion dedicated to investments in natural
resources. Sprott specializes in investing in small and mid-cap stocks,
and searches for opportunities that have material potential upside.
Sprott emphasizes independent thinking and seeks consistently to be a
leader in understanding macro trends and their implication for specific
industries. The Manager also manages the Sprott 2011 Flow-Through
Limited Partnership which had an investment portfolio with a net asset
value of approximately $46 million as at December 31, 2011.
The offering is being made through a syndicate of agents led by RBC
Capital Markets and included, CIBC World Markets Inc., TD Securities
Inc., BMO Capital Markets, National Bank Financial Inc., Canaccord
Genuity Corp., GMP Securities L.P., Scotia Capital Inc., Desjardins
Securities Inc., Dundee Securities Ltd., Macquarie Private Wealth Inc.,
Manulife Securities Incorporated, Raymond James Ltd. and Sprott Private
Certain statements included in this news release constitute
forward-looking statements, including, but not limited to, those
identified by the expressions ''expect,'' ''intend,'' "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 that 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 prospectus contains
important detailed information about the securities being offered.
Copies of the prospectus may be obtained from one of the dealers noted
above. Investors should read the prospectus before making an investment
SOURCE Sprott 2010 Flow-Through Limited Partnership
For further information:
For more information on Sprott Asset Management LP, please visit www.sprott.com or contact us at (416) 362-7172 or 866 299-9906 or firstname.lastname@example.org.