Gold Royalty Corp. · AMEX:GROY
Gold Royalty — Merger or Acquisition (February 2022)
13 slides from Gold Royalty's merger presentation, February 2022
Slide 1: Combining With Gold Royalty Will Take Elemental From Good to Great
Combining With Gold Royalty Will Take Elemental From Good to Great February 2022 NYSE American: GROY 0 goldroyalty.com
Slide 2: Disclaimer
Disclaimer NOTICE TO READERS This presentation is for informational purposes only and does not constitute an offer to buy or sell, or a solicitation of an offer to sell or buy, any securities. The offer to acquire securities (the “Offer”) of Elemental Royalties Corp. (“Elemental”) and to issue secur
Slide 3: Investor Highlights
Investor Highlights Good to Great: Creating the Preeminent Intermediate Precious Metals Royalty Company ✓ Sector-leading portfolio of 200 royalties across cash flowing, development and exploration assets Industry-leading growth profile over next three years, with medium and longer-term growth driven
Slide 4: Compelling Value for Elemental Shareholders
1 Compelling Value for Elemental Shareholders Elemental’s Fiction: “The Hostile Bid is wholly inadequate, does not reflect the full, strategic and fair value of the [Elemental] Common Shares” • FACT: The Offer provides Elemental shareholders with an immediate and significant premium in a more liquid
Slide 5: Diversified Royalty Portfolio Mitigates Concentration Risk
2 Diversified Royalty Portfolio Mitigates Concentration Risk Elemental’s Fiction: “The combined royalty portfolio…would be significantly less attractive than Elemental’s stand-alone [portfolio]” • FACT: The combined company would boast a sector-leading, diversified portfolio of 200 royalties across
Slide 6: Industry-Leading Revenue Growth Profile
3 Industry-Leading Revenue Growth Profile Elemental’s Fiction: “Gold Royalty’s royalty portfolio has little or no reasonable likelihood of generating cash flow, even in the medium term” • FACT: Gold Royalty’s existing portfolio has a growth profile that is second-to-none in the industry based on ana
Slide 7: Sustainable Dividend Supported by Current Assets
4 Sustainable Dividend Supported by Current Assets Elemental’s Fiction: “Gold Royalty’s revenue outlook is murky…[its] recently announced dividend policy is not sustainable” • FACT: Inaugural dividend declared less than 12 months post IPO, demonstrating a firm commitment to shareholder returns. Divi
Slide 8: Inclusion in $4 bln Gold ETF Provides Enhanced Liquidity and Global Exposure
5 Inclusion in $4 bln Gold ETF Provides Enhanced Liquidity and Global Exposure Elemental’s Fiction: “Gold Royalty had abnormal trading on the last trading day prior to announcing its intention to make the hostile bid (Dec. 17, 2021)” • FACT: December 17th trading was driven by the Junior Gold Miners
Slide 9: Executing on Leading Growth-Focused Strategy
6 Executing on Leading Growth-Focused Strategy Elemental’s Fiction: “Gold Royalty is burning through cash at an unsustainable and alarming rate” • FACT: In 2021, Gold Royalty completed a US$90 mm IPO, listed on a leading U.S. Exchange, executed 3 corporate M&A transactions, and a 4th material royalt
Slide 10: Gold Royalty's Selected Key Assets
Gold Royalty’s Selected Key Assets Immediate Cash Flow, Industry-Leading Growth, and Long Mine Lives Canadian Malartic Odyssey (3% NSR) Fenelon (2% NSR) REN (1.5% NSR | 3.5% NPI) “A generational asset where we can demonstrate at least “Multi-million ounce deposit with significant “Potential signific
Slide 11: Gold Royalty Moving Forward
Gold Royalty Moving Forward Corporate Milestones, Portfolio Catalysts and Future Revenue Growth Pro-Forma Portfolio Near-Term Catalysts Pro-Forma Revenue Profile and Growth Expected1 ($ mm) $40 Q1 2022 – REN mineral resource estimate Q1 2022 – Isabella Pearl heap leach pad expansion $30 Q1 2022 – La
Slide 12: Plans for a Mutually Beneficial Acquisition of Elemental Royalties
Plans for a Mutually Beneficial Acquisition of Elemental Royalties Elemental Aligns with Gold Royalty’s Growth Strategy ✓ ✓ Adds a highly complementary portfolio of cash- Adds diversification into Western Australia, another flowing and development assets Tier-1 jurisdiction ✓ ✓ Partnerships with pre
Slide 13: Investor Highlights
Investor Highlights Good to Great: Creating the Preeminent Intermediate Precious Metals Royalty Company ✓ Sector-leading portfolio of 200 royalties across cash flowing, development and exploration assets Industry-leading growth profile over next three years, with medium and longer-term growth driven