Amendments To Early Warning Regime

On February 25, 2016, the Canadian Securities Administrators ("CSA") published final amendments to the early warning regime (the "Amendments"). The Amendments are consistent with the revised proposals released by the CSA on October 10, 2014. We discussed these proposals in our October 14, 2014 client update: The CSA Proceeds with Amendments to the Early Warning Reporting Regime but Abandons Two Key Proposed Changes. The Amendments are anticipated to take effect on May 9, 2016.

Disclosure of Decreases in Ownership

The threshold for reporting incremental increases in ownership above the 10% threshold will remain at 2%, but each 2% incremental decrease in ownership will also now be reportable. An investor will also be required to disclose when its ownership falls below the 10% threshold (i.e., "exit" reports).