Robert Friedland Provides Update on Previously Disclosed Ivanhoe Mines' Shareholdings

Rhea-AI Summary

Robert Friedland has provided an update on his shareholdings in Ivanhoe Mines following previously disclosed transactions from August 18, 2023. A wholly-owned subsidiary has pledged 62,700,000 common shares (4.64% of outstanding shares) as security to a U.S. commercial bank for personal financing transactions. This represents less than a 2% increase in pledged shares since the last disclosure.

Friedland currently owns, through wholly-owned subsidiaries and directly, 163,229,617 common shares (12.08% of outstanding shares). Including potential shares from options, restricted share units, and performance share units, his ownership could reach 167,706,290 shares (12.37% on a partially-diluted basis). He retains ownership rights over the pledged shares and intends to settle transactions in cash. Future share transfers for estate planning purposes will not exceed 8.8% of outstanding shares.

Positive

• Friedland maintains all ownership rights over pledged shares
• Intent to settle transactions in cash rather than shares
• Clear limitation on future share transfers (capped at 8.8%)

Negative

• Increase in pledged shares as collateral (4.64% of outstanding shares)
• Potential future share dilution through various equity instruments

Singapore, Singapore--(Newsfile Corp. - December 31, 2024) - This news release is issued by Robert M. Friedland to provide an update regarding his holdings of class A common shares ("common shares") in Ivanhoe Mines Ltd. ("Ivanhoe Mines") following transactions that were previously disclosed on August 18, 2023.

In connection with personal financing transactions (collectively, the "Transactions") entered into by Mr. Friedland with a third-party U.S. commercial bank (the "Financial Institution") and previously disclosed, the Financial Institution has made funds available to Mr. Friedland. In support of the Transactions, a wholly-owned subsidiary of Mr. Friedland has pledged as security an aggregate of 62,700,000 common shares in favour of the Financial Institution which constitutes 4.64% of the currently outstanding Ivanhoe Mines' common shares.

This increase constitutes less than a 2% increase in the number of pledged common shares since Mr. Friedland's last disclosure on August 18, 2023.

The Transactions have been completed in multiple tranches. At maturity, Mr. Friedland may, but is not required to, deliver common shares to the Financial Institution to settle the Transactions. Mr. Friedland also has the right to elect to settle the transaction in cash, and expects and intends to do so in all circumstances. Except for these circumstances, the commercial bank has obtained no rights to dispose of, sell, transfer or vote, any of the pledged common shares or other shares of Ivanhoe Mines. Mr. Friedland or a wholly-owned subsidiary continues to retain all rights of ownership over the pledged common shares.

Mr. Friedland may, at any time, increase or decrease the number of pledged common shares as part of the Transactions with the Financial Institution. As part of estate planning over the next five years, Mr. Friedland also intends to transfer common shares to one or more charitable trusts established or to be established. The common shares that may be subject to further pledging as a part of the Transaction and/or common shares that may be transferred as part of estate planning purposes shall not exceed 8.8% of the issuer's outstanding common shares at any time. Mr. Friedland will provide the additional disclosures required for these future transactions at the time required by applicable law.

Wholly-owned subsidiaries of Mr. Friedland continue to be the registered owners of 163,046,893 common chares (which includes the Pledged Shares) and Mr. Friedland continues to directly own 182,724 common shares, which in aggregate total 163,229,617 common shares, representing in aggregate approximately 12.08% of the common shares issued and outstanding on December 30, 2024.

Mr. Friedland also may be deemed to own 3,993,412 common shares issuable on exercise of previously granted options, 266,793 common shares issuable upon the vesting of restricted share units and 216,468 common shares issuable upon the vesting of performance share units, and as a result may be deemed to own, in aggregate, 167,706,290 common shares, representing approximately 12.37% of the common shares issued and outstanding on a partially-diluted basis.

Mr. Friedland has a business address of 150 Beach Road, #25-03, The Gateway West, Singapore 189720.

For further information and to obtain a copy of the early warning report filed under applicable Canadian provincial securities legislation in connection with the transactions hereunder, please go to Ivanhoe Mines' profile on the SEDAR+ website (www.sedarplus.ca) or contact Sam Kenny at (604) 689-8765. Ivanhoe Mines has an office at 606-999 Canada Place, Vancouver, British Columbia, Canada, V6C 3E1.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/235707

FAQ

How many Ivanhoe Mines (IVPAF) shares did Robert Friedland pledge as security in December 2024?

Robert Friedland pledged 62,700,000 common shares, representing 4.64% of Ivanhoe Mines' outstanding shares, as security to a U.S. commercial bank.

What is Robert Friedland's total ownership percentage in IVPAF as of December 2024?

Friedland owns 12.08% of outstanding shares (163,229,617 shares) directly and through subsidiaries, or 12.37% on a partially-diluted basis including potential shares from options and other instruments.

How will the IVPAF share pledge transactions be settled?

Friedland has the option to settle in either shares or cash, but has expressed his expectation and intention to settle in cash in all circumstances.

What is the maximum percentage of IVPAF shares that could be affected by Friedland's future transactions?

Future share transfers for estate planning and additional pledging will not exceed 8.8% of Ivanhoe Mines' outstanding common shares at any time.