Noranda Income Fund Unitholders Comment on Glencore Canada Buyout Proposal

JACKSONVILLE, Fla. and VANCOUVER, BC, Jan. 10, 2023 /CNW/ - Riverstyx Capital Management, LLC and LM Asset Fund Limited Partnership do not support Glencore Canada's proposed acquisition of Noranda Income Fund (TSX:NIF.UN) under its current terms. The transaction is an opportunistic attempt by Glencore Canada to take advantage of NIF's depressed trading price and current challenges to acquire a valuable asset at a significant discount to its inherent value.

"Under its current terms, we do not support the proposed acquisition," said Ben Franklin, founder and portfolio manager of Riverstyx. "NIF's independent trustees (all of whom have been hand-picked by Glencore) have agreed to support a proposal that drastically undervalues NIF. It also appears that there was no meaningful attempt to identify or pursue alternatives that could deliver higher value to unitholders. This highlights why the board needs to be reconstituted.  As large, long-term unitholders we will continue to pursue our efforts to reconstitute the board with new independent trustees who will be focused on protecting the interests of public unitholders."

As previously announced, Riverstyx and LM, together with Douglas Warwick, who collectively own approximately 22% of NIF's outstanding priority units, have requisitioned a special meeting of unitholders to reconstitute the board of trustees of Noranda Operating Trust and are proposing to replace all four of the current independent trustees with a new group of highly-qualified, experienced and truly independent individuals. The meeting is scheduled to be held on March 28, 2023. For further information, please refer to the November 24, 2022 press release issued by Riverstyx and LM.

Each of Riverstyx, LM and Mr. Warwick currently intend to vote against Glencore Canada's proposed acquisition of NIF and will continue to pursue their efforts to replace the independent trustees.

SOURCE Riverstyx Capital Management, LLC

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