Vizsla Royalties Announces Share Consolidation

August 02, 2024 10:54 AM EDT | Source: Vizsla Royalties Corp.^[1]

Vancouver, British Columbia--(Newsfile Corp. - August 2, 2024) - Vizsla Royalties Corp. ("Vizsla Royalties" or the "Company") announces that, effective August 6, 2024, the Company will complete a consolidation of its ‎issued and outstanding common shares (the "Common Shares") on the basis of one (1) new Common ‎Share for every existing ten (10) Common Shares (the "Consolidation"). The Consolidation was approved ‎‎by the Company's Board of Directors on July 31, 2024.‎

Immediately prior to the Consolidation there are expected to be 282,323,446 Common Shares issued and ‎‎outstanding, and it is expected that there will be ‎approximately 28,232,344 Common Shares following the ‎Consolidation. Each shareholder's percentage ownership in the Company and proportional voting power ‎will remain unchanged after the Consolidation, except for minor changes and adjustments resulting from ‎the treatment of any resulting fractional Common Shares. Where the exchange results in a fractional ‎Common Share, the number of Common Shares will be ‎rounded ‎up to the next greater whole number of ‎Common Shares if the fractional entitlement is equal to or ‎greater than 0.5 and will be, without any ‎additional compensation, rounded down to the next ‎lesser whole number of Common Shares if the ‎fractional entitlement is less than 0.5.‎

A new CUSIP number of 92859L201 will ‎replace the old ‎CUSIP number of 92859L102 to distinguish between the pre- and post- consolidated ‎Common Shares. The ‎Company's name will remain unchanged.‎

The exercise or conversion price and the number of Common Shares issuable under any of the ‎‎Company's ‎outstanding warrants, stock options and other securities exercisable for or ‎‎convertible into ‎Common Shares will be proportionately adjusted in connection with the Consolidation.‎

About Vizsla Royalties Corp.

Vizsla Royalties Corp. is a precious metals focused royalty company. The Company's principal asset is a Net Smelter Royalty on Vizsla Silver Corp.'s (TSXV: VZLA) (NYSE: VZLA) flagship Panuco Project located in Mexico. Panuco is a world-class silver and gold development project actively advancing towards production. Panuco currently hosts an estimated in-situ indicated mineral resource of 155.8 Moz AgEq and an in-situ inferred resource of 169.6 Moz AgEq (please refer to Vizsla Silver's Technical Report on Updated Mineral Resource Estimate for the Panuco Ag-Au-Pb-Zn Project, Sinaloa State, Mexico, by Allan Armitage, Ben Eggers and Peter Mehrfert, dated February 12, 2024).

SPECIAL NOTE REGARDING FORWARD LOOKING STATEMENTS

This news release includes certain "Forward‐Looking Statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "forward‐looking information" under applicable Canadian securities laws. When used in this news release, the words "anticipate", "believe", "estimate", "expect", "target", "plan", "forecast", "may", "would", "could", "schedule" and similar words or expressions, identify forward‐looking statements or information. These forward‐looking statements or information relate to, among other things: intended use of net proceeds of the Offering and the anticipated closing date of the Offering.

Forward‐looking statements and forward‐looking information relating to any future mineral production, liquidity, enhanced value and capital markets profile of Vizsla Royalties, future growth potential for Vizsla Royalties and its business, and future exploration plans are based on management's reasonable assumptions, estimates, expectations, analyses and opinions, which are based on management's experience and perception of trends, current conditions and expected developments, and other factors that management believes are relevant and reasonable in the circumstances, but which may prove to be incorrect. Assumptions have been made regarding, among other things, the price of silver, gold, and other metals; no escalation in the severity of the COVID-19 pandemic; costs of exploration and development; the estimated costs of development of exploration projects; Vizsla Royalties' ability to operate in a safe and effective manner and its ability to obtain financing on reasonable terms.

These statements reflect Vizsla Royalties' respective current views with respect to future events and are necessarily based upon a number of other assumptions and estimates that, while considered reasonable by management, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors, both known and unknown, could cause actual results, performance, or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward‐looking statements or forward-looking information and Vizsla Royalties has made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation: the Company's dependence on one mineral project; precious metals price volatility; risks associated with the conduct of the Company's mining activities in Mexico; regulatory, consent or permitting delays; risks relating to reliance on the Company's management team and outside contractors; risks regarding mineral resources and reserves; the Company's inability to obtain insurance to cover all risks, on a commercially reasonable basis or at all; currency fluctuations; risks regarding the failure to generate sufficient cash flow from operations; risks relating to project financing and equity issuances; risks and unknowns inherent in all mining projects, including the inaccuracy of reserves and resources, metallurgical recoveries and capital and operating costs of such projects; contests over title to properties, particularly title to undeveloped properties; laws and regulations governing the environment, health and safety; the ability of the communities in which the Company operates to manage and cope with the implications of COVID-19; the economic and financial implications of COVID-19 to the Company; operating or technical difficulties in connection with mining or development activities; employee relations, labour unrest or unavailability; the Company's interactions with surrounding communities and artisanal miners; the Company's ability to successfully integrate acquired assets; the speculative nature of exploration and development, including the risks of diminishing quantities or grades of reserves; stock market volatility; conflicts of interest among certain directors and officers; lack of liquidity for shareholders of the Company; litigation risk; and the factors identified under the caption "Risk Factors" in Vizsla Royalties' management discussion and analysis. Readers are cautioned against attributing undue certainty to forward‐looking statements or forward-looking information. Although Vizsla Royalties has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be anticipated, estimated or intended. Vizsla Royalties does not intend, and does not assume any obligation, to update these forward‐looking statements or forward-looking information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements or information, other than as required by applicable law.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/218654^[2]

SOURCE: Vizsla Royalties Corp.^[3]

References

1. ^{^} Vizsla Royalties Corp. (www.newsfilecorp.com)
2. ^{^} https://www.newsfilecorp.com/release/218654 (api.newsfilecorp.com)
3. ^{^} Vizsla Royalties Corp. (www.newsfilecorp.com)