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QMX Gold Corporation

2021-05-17 | Decision | 11-206, Securities Act | Issuers | https://www.osc.ca/en/securities-law/orders-rulings-decisions/qmx-gold-corporation

Securities Act, R.S.O. 1990, c. S.5, as am., ss.1(10)(a)(ii).


The Securities Commission has granted an order for QMX Gold Corporation (the Filer) to cease being a reporting issuer. The Filer, a mining company, became a wholly-owned subsidiary of Eldorado Gold Corporation (the Purchaser) following an arrangement agreement. The Filer’s securities were delisted, and the only outstanding securities held by third parties are warrants exercisable for a fraction of the Purchaser’s common shares and cash, not Filer’s securities.

The Filer could not use the simplified procedure for ceasing to be a reporting issuer due to the number of warrant holders. However, these holders will not be prejudiced by the cessation as they do not require public disclosure from the Filer. The Filer is not in default of any obligations as a reporting issuer and has no plans for public financing or issuing new securities, except to the Purchaser or its affiliates.

The order is based on the Securities Act, R.S.O. 1990, c. S.5, as amended, and relies on subsection 4C.5(1) of Multilateral Instrument 11-102 Passport System for jurisdictions outside Ontario. The Filer is not a reporting issuer in any jurisdiction following the order. The decision was made considering the Filer’s compliance with relevant securities legislation and the lack of necessity for the Filer to maintain its reporting issuer status.