8-K: SSR Mining to Voluntarily Delist from Australian Securities Exchange (ASX)

SSR Mining Inc. announces its voluntary delisting from the Australian Securities Exchange (ASX) due to low trading volumes and high associated costs, with the delisting expected to occur on April 8, 2025.

Summary

• SSR Mining Inc. has received approval to delist from the ASX.
• The delisting is expected to occur on April 8, 2025.
• Trading of the company's CHESS depositary interests (CDIs) on the ASX will be suspended on April 4, 2025.
• The company's common shares will continue to trade on the Nasdaq and TSX under the ticker symbol SSRM.
• The primary reason for delisting is the infrequent and low trading volumes on the ASX compared to the Nasdaq and TSX.
• As of January 31, 2025, CDIs held on the Australian register represented approximately 1.74% of the company's total issued share capital.
• The company believes that the financial, administrative, and compliance costs associated with maintaining the ASX listing are no longer justified.
• CDI holders have several options, including converting CDIs to shares listed on the TSX and Nasdaq, selling CDIs on the ASX before the suspension date, participating in a voluntary sale facility, or being subject to a compulsory sale process.
• The company will cover brokerage and related costs for the voluntary and compulsory sale processes.
• CDI holders opposed to the delisting may apply to a court in British Columbia, Canada, under the British Columbia Business Corporations Act.

Sentiment

Score: 7

Explanation: The announcement is neutral to slightly positive. While delisting might inconvenience some CDI holders, the company is facilitating the transition and reducing costs, which could benefit shareholders in the long run.

Positives

• SSR Mining will cover brokerage and related costs for CDI holders participating in the voluntary and compulsory sale processes, easing the transition for investors.
• CDI holders have multiple options for managing their holdings, including converting to shares on the TSX/Nasdaq or selling through facilitated sale processes.
• The delisting is expected to reduce administrative and compliance costs for SSR Mining, potentially improving efficiency.

Negatives

• CDI holders will no longer be able to trade SSR Mining CDIs on the ASX after April 4, 2025.
• Remaining CDI holders will be subject to a compulsory sale process if they do not take action to convert or sell their holdings.
• CDI holders may need to verify their stockbroking arrangements to trade shares on the TSX or Nasdaq.

Risks

• CDI holders may face challenges or delays in converting their CDIs to shares on the TSX or Nasdaq.
• The value received by CDI holders through the voluntary or compulsory sale facilities may be affected by market conditions at the time of sale.
• CDI holders opposed to the delisting may incur legal costs if they choose to pursue remedies through the British Columbia Business Corporations Act.

Future Outlook

SSR Mining expects to complete the delisting from the ASX on April 8, 2025, and will continue to trade on the Nasdaq and TSX under the ticker symbol SSRM.

Management Comments

• The Company believes that the financial, administrative and compliance obligations and costs associated with maintaining the ASX listing are no longer in the best interest of its shareholders.

Industry Context

Delisting from smaller exchanges to consolidate trading on major exchanges like Nasdaq and TSX is a common strategy for companies seeking to reduce costs and improve trading liquidity.

Comparison to Industry Standards

• Other mining companies, such as Barrick Gold and Newmont, primarily focus their listings on major North American exchanges like the NYSE and TSX, reflecting a similar strategy of concentrating trading activity.
• The percentage of SSR Mining's share capital held as CDIs on the ASX (1.74%) is relatively low compared to companies that maintain a significant presence on multiple exchanges.

Stakeholder Impact

• CDI holders will be impacted by the delisting and will need to take action to convert or sell their holdings.
• Shareholders may benefit from reduced administrative and compliance costs.
• The company's employees and other stakeholders are unlikely to be significantly impacted by the delisting.

Next Steps

• SSR Mining will send a letter to each CDI Holder outlining the delisting process and available options.
• The company will suspend the ability for new CDIs to be issued.
• The company will establish a voluntary sale facility for CDI holders.
• The company will implement a compulsory sale process for remaining CDI holders.

Key Dates