RFGL, a party to the RGMP Transaction negotiations, was entitled to have its equity in Richardson GMP redeemed for cash at closing. It agreed to forego that entitlement if those funds would be used for growth. During very prolonged negotiations, RFGL stipulated that its funds should not be used merely for distribution to common shareholders.
Be wary of any assertion by the dissident that he could successfully persuade RFGL otherwise. The more likely outcome is a stalemate and value destruction as Richardson GMP’s Investment Advisors depart for competitors
The Better Way: Approve the RGMP Transaction
Fortunately, there is a better way. If common shareholders approve the RGMP Transaction, the Richardson GMP Investment Advisors collectively will become significant common shareholders of a GMP poised for growth in the multi trillion-dollar wealth management industry.
To further align themselves with GMP’s long-term value creation, the Richardson GMP Investment Advisors have accepted a three-year escrow on 90% of their new GMP common shares along with non-compete constraints. They are confident that the RGMP Transaction will enable Richardson GMP to grow in an atmosphere of ownership certainty.
The fact is there is significant upside in a favourable vote and there is significant downside risk if the dissident is successful in disrupting the RGMP Transaction and electing a new Board. That is why it is crucial that you vote FOR the RGMP Transaction Resolution and FOR the Company’s slate of Board nominees. Your support is extremely important. Please vote your BLUE proxy today. Don’t let the uncertainty persist.
Vote Today, and Only Using the BLUE Proxy
The Board recommends that common shareholders vote today, using the BLUE form of proxy or voting instruction form. Vote after reading GMP’s latest letter dated September 22, 2020, and after reading GMP’s Management Information Circular dated September 8, 2020 and the accompanying letter to shareholders:
- FOR the RGMP Transaction; and
- FOR the Company’s nominees for election to the Board.
Shareholders with questions may contact the Company’s strategic shareholder advisor and proxy solicitation agent, Kingsdale Advisors, at 1-866-879-7644 toll free in North America, or call collect outside North America at 1-416-867-2272 or by email at [email protected].