TSX: GPR
NYSE American: GPL
VANCOUVER,
Jan. 16, 2019
/CNW/ - GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE American: GPL)
("Great Panther"; the "Company") is pleased to report that, in
respect of the upcoming special meeting of shareholders of Great
Panther, Institutional Shareholder Services Inc. ("ISS"), a leading
independent proxy advisory firm who provides voting recommendations
to institutional investors, has recommended that shareholders vote
in favour of the Great Panther Scheme Resolution and the Name
Change Resolution in connection with the Scheme Implementation Deed
pursuant to which Great Panther will acquire Beadell Resources
Limited ("Beadell") (the "Acquisition") and change its name to
Great Panther Mining Limited.
ISS Recommendation to Great Panther
Shareholders
In making its recommendation, ISS noted, "The merger makes
strategic sense as it will create a new emerging intermediate
metals producer and will result in significant pro forma gold and
silver production. The combined company will also have an increased
public float and broadened shareholder base, providing stronger
liquidity and augmented scale in the capital markets. Furthermore,
Great Panther stands to benefit having extensive reserves, when the
company previously had none, and would also be accretive to
measured, indicated and inferred resources. Finally, the
combined company stands to benefit from an enhanced balance sheet
and from anticipated cost synergies and efficiencies."
YOUR VOTE IS IMPORTANT – PLEASE VOTE
TODAY
The proxy voting deadline is 9:00 a.m. PT on
Thursday, February 7, 2019
Reasons for and Benefits of the Acquisition
The Acquisition of Beadell will create a new growth-oriented
intermediate precious metals producer focused on the Americas with
the following key strategic benefits:
- Diversified portfolio of producing mines in Mexico and Brazil, and an advanced stage development
project in Peru;
- Significant 2018 pro-forma gold and silver production of
123,336 gold ounces from Beadell to complement Great Panther's 2018
production of 4.17 million silver equivalent ounces (pro-forma
~175,000 gold equivalent ounces or ~14 million silver equivalent
ounces)(1)(2);
- Near-term resource growth potential from Beadell's in- and
near-mine targets to add to the growth potential from Great
Panther's advanced-stage Coricancha project in Peru;
- Addition of extensive reserve and resources, including 1.3
million ounces of gold in proven and probable reserves, and 2.0
million ounces of measured and indicated gold
resources(3);
- Longer-term exploration optionality from Beadell's 2,500 square
kilometre highly prospective land package;
- Strong balance sheet to support a robust growth portfolio;
and
- Attractive re-rating potential.
(1)
|
Based on Beadell and
Great Panther's fiscal year 2018 production figures
|
(2)
|
Gold and silver
equivalents based on an 80:1 gold:silver ratio
|
(3)
|
As at June 30,
2018
|
The Board of Directors of Great Panther
UNANIMOUSLY recommends that Great Panther Shareholders vote FOR the
proposed resolutions
Great Panther Special Meeting
The Special Meeting of shareholders of Great Panther is
scheduled for 9:00 a.m. PT on
February 11, 2019 at the
Terminal City Club (Terrace Room B), 837 West Hastings Street,
Vancouver, British Columbia.
Additional information concerning the Great Panther Scheme
Resolution and the Name Change Resolution can be found in the
management information circular dated December 21, 2018. An electronic copy of the
management information circular is available on the Company's
website at www.greatpanther.com, on its SEDAR profile at
www.sedar.com, and on its EDGAR profile at www.sec.gov.
Shareholder Information and Questions
Great Panther shareholders who need assistance with voting their
shares can contact our proxy solicitation agent, Laurel Hill
Advisory Group:
Laurel Hill Advisory Group
North American Toll
Free:
|
1 877 452
7184
|
Collect Calls Outside
North America:
|
1 416 304
0211
|
Email:
|
assistance@laurelhill.com
|
Shareholders are encouraged to vote today using the internet,
telephone, or facsimile.
ABOUT GREAT PANTHER
Great Panther Silver Limited is a primary silver mining and
exploration company listed on the Toronto Stock Exchange trading
under the symbol GPR, and on the NYSE American under the symbol
GPL. Great Panther's current activities are focused on the
mining of precious metals from its two wholly-owned operating mines
in Mexico: the Guanajuato Mine
Complex and the Topia Mine. The Company is also advancing
towards a decision to restart the Coricancha Mine in Peru with the initiation of a Bulk Sample
Program following the completion of a positive Preliminary Economic
Assessment in May 2018. In
addition, the Company has signed an agreement to acquire all of the
issued ordinary shares of gold producer Beadell Resources
Limited.
James Bannantine
President & CEO
CAUTIONARY STATEMENT ON FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements within the
meaning of the United States Private Securities Litigation Reform
Act of 1995 and forward-looking information within the meaning of
Canadian securities laws (together, "forward-looking
statements"). Such forward-looking statements may include,
but are not limited to, statements regarding the timing and
completion of the Acquisition, the resource growth potential of
Beadell's near mine targets and land package, the timing or
positive outcome of a production decision for the Coricancha
project, and the benefits of the Acquisition to shareholders of
Great Panther.
These forward-looking statements involve known and unknown
risks, uncertainties and other factors that may cause the actual
results, performance or achievements expressed or implied by such
forward-looking statements to be materially different.
Assumptions upon which forward looking statements relating to
the Acquisition have been made include that Beadell and Great
Panther will be able to satisfy the conditions of Closing, that due
diligence investigations of each party will not identify any
materially adverse facts or circumstances, that the required
approvals will be obtained from the shareholders of Beadell and
Great Panther, and that all required third party, regulatory and
government approvals will be obtained. Such factors include,
among others, risks and uncertainties relating to potential
political and social risks involving Beadell and Great Panther's
operations in a foreign jurisdiction, the potential for unexpected
costs and expenses, fluctuations in metal prices, fluctuations in
currency exchange rates, physical risks inherent in mining
operations, operating or technical difficulties in mineral
exploration, changes in project parameters as plans continue to be
refined, and other risks and uncertainties, including those
described in respect of Great Panther, in its annual information
form for the year ended December 31,
2017 and material change reports filed with the Canadian
Securities Administrators available at www.sedar.com and
reports on Form 40-F and Form 6-K filed with the Securities and
Exchange Commission and available at www.sec.gov.
There is no assurance that such forward looking statements will
prove accurate; results may vary materially from such
forward-looking statements; and there is no assurance that the
Company will be able to identify and acquire additional projects or
that any projects acquired will be successfully developed.
Readers are cautioned not to place undue reliance on forward
looking statements. The Company has no intention to update
forward looking statements except as required by law.
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SOURCE Great Panther Silver Limited