Vikram Sodhi and SunValley Investments Will Do or Say Anything to Seize Control of Your Board, Company and Project - Seite 2

Falsehood #1 - "Mr. Cooke attempted to encumber the project with a second royalty."

In a letter dated May 18, 2022, addressed to Mr. Sodhi, Scott Eldridge, Canagold's CEO, clearly informed Vikram Sodhi and SunValley on behalf of Canagold's Board as follows:

"Given the current depressed state of the junior mining equities market and Canagold's share price in particular, management feels it prudent to evaluate the potential for non-equity financing at this time. The royalty market has recently been very active with significant NAV multiples being offered. This is not to say that we intend to do a royalty financing. We are simply evaluating its accretion/dilution potential as compared to an equity financing. We may not receive any offers from royalty companies, and if we do, they may not be on acceptable terms. The Company is presently assessing its financing alternatives and it will not make any determination on what is in the best interest of the Company until it has a full understanding of the various options available to it." (Canagold letter to SunValley)

Foto: Accesswire

Notwithstanding this letter explaining management's fiduciary duty to evaluate all possible financing alternatives in order to select the best one for the benefit of ALL shareholders instead of just ONE shareholder, Mr. Sodhi insisted management ABANDON its review of financing alternatives and he continued his hostile attempt to seize control of your board, the Company and New Polaris.

In a text on June 9, 2022, Mr. Cooke reconfirmed to Mr. Sodhi that management completed their review of the royalty market and "dropped the idea of selling an NSR because we did not receive any offers".

What did Vikram Sodhi do, did he back off of his demands for 60% control of your board? No, instead he doubled down on his efforts to hijack control of your board of directors. These are not the actions of a reasonable shareholder; the Dissident is simply using this untrue allegation to misdirect other shareholders away from their real mission to seize control of the Company.

In the Dissident circular filed on Monday, June 27^th, the Dissident continues to make false and misleading allegations about Canagold pursuing a royalty. This is in spite of the fact that your Board informed the Dissident in writing over a month ago and again two weeks ago that the Company is assessing all financing options available and does not intend to do a royalty financing, Knowing this to be the case, why would they intentionally repeat this false statement in their information circular? Because the facts do not suit their agenda - to seize control of your company without paying you the shareholders anything!