Business Context and Reporting Period
Gold Royalty Corp. filed this Form 6-K on June 13, 2022, for the month of June 2022. The filing supports an anticipated registration statement on Form F-3 and provides updated unaudited pro forma condensed combined financial information and historical financial statements related to acquisitions completed in 2021.
- August 23, 2021: acquisition of all outstanding shares of Ely Gold Royalties Inc.
- November 5, 2021: acquisition of all outstanding shares of Golden Valley Mines and Royalties Ltd. and the noncontrolling interests in its subsidiary, Abitibi Royalties Inc.
Financial Metrics and Liquidity
The filing body does not provide clear amounts for revenue, profit or loss, cash flow, margins, debt, liquidity, assets, liabilities or other financial metrics. It incorporates or references financial information in the exhibits, including pro forma statements of loss for the year ended September 30, 2021 and the six months ended March 31, 2022.
Material Changes Versus Prior Period
The principal reported change is the inclusion of the Ely Gold, Golden Valley and Abitibi businesses in updated pro forma combined information following the 2021 acquisitions. The filing text does not provide a quantified comparison with prior periods.
Guidance, Outlook, Risks and Unusual Items
The pro forma information is presented for informational purposes only and does not purport to project Gold Royalty Corp.'s future financial position or operating results after the acquisitions. No specific guidance, management outlook, contingencies or unusual items are described in the filing body.
Exhibits and Investor Verification Items
- Review Exhibit 99.1 for the detailed unaudited pro forma condensed combined statements of loss.
- Verify the historical financial statements and interim periods for Ely Gold Royalties Inc., Abitibi Royalties Inc. and Golden Valley Mines and Royalties Ltd. in Exhibits 99.2 through 99.7.
- Assess acquisition accounting, pro forma adjustments and the treatment of noncontrolling interests.
- Confirm current cash, debt, liquidity and operating results from the complete financial statements, as these amounts are not provided in the filing text.
- Note that the Form 6-K is associated with a contemplated Form F-3 registration statement; the filing text does not state the size or terms of any proposed offering.