TORONTO, May 27 /PRNewswire-FirstCall/ - Sprott Physical
Gold Trust (the "Trust") (NYSE: PHYS/TSX: PHY.U), a trust created
to invest and hold substantially all of its assets in physical gold
bullion and managed by Sprott Asset Management LP, today announced
that the underwriters for the previously announced follow-on public
offering (the "Offering") of units ("Units") of the Trust have
agreed to purchase an additional 3,240,000 Units in connection with
the exercise of their over-allotment option.
Including this exercise of the over-allotment option, the gross
proceeds of the Offering will be US$279,450,000, consisting of 24,840,000 Units
offered at US$11.25 per Unit.
The Trust intends to use the net proceeds of this Offering to
acquire physical gold bullion in accordance with the Trust's
objective and subject to the Trust's investment and operating
restrictions described in the prospectus related to this Offering.
The net proceeds of the Offering per Unit will be greater than 100%
of the most recently calculated net asset value per Unit of the
Trust prior to pricing of the Offering, as required under the trust
agreement governing the Trust.
The Units are listed on the NYSE Arca and the Toronto Stock
Exchange under the symbols "PHYS" and "PHY.U", respectively. The
Offering was made simultaneously in the
United States and Canada
through a syndicate of underwriters led by Morgan Stanley and RBC
Capital Markets in the United
States and RBC Capital Markets and Morgan Stanley in
Canada. The underwriters for the
Offering in Canada included TD
Securities Inc., BMO Capital Markets, Canaccord Genuity Corp., HSBC
Securities (Canada) Inc., National
Bank Financial Inc. and GMP Securities L.P.
Copies of the U.S. prospectus related to this Offering may be
obtained by contacting Morgan Stanley & Co. Incorporated, 180
Varick Street, 2nd Floor, New York, New
York 10014 Attention: Prospectus Department (telephone:
866-718-1649 (toll free) or 917-606-8474) or by e-mailing
prospectus@morganstanley.com, or RBC Capital Markets Corporation,
Attention: Prospectus Department, Three World Financial Center, 200
Vesey Street, 8th floor, New York, New
York 10281-8098 (telephone: 212-428-6670, fax:
212-428-6260)
This news release does not constitute an offer to sell or a
solicitation of an offer to buy the Units, nor shall there be any
sale of the Units in any state or jurisdiction in which such an
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any such
jurisdiction.
Additional details on the Trust can be found in the final
prospectus available on EDGAR (www.edgar.com) and SEDAR
(www.sedar.com) or on the Trust's website at
www.sprottphysicalgoldtrust.com.
SOURCE Sprott Inc.