TSXV Amends Policy For Changes Of Business And Reverse Takeovers

The TSX Venture Exchange (the "TSXV") published its amendments to Policy 5.2 – Changes of Business and Reverse Takeovers ("Policy 5.2") of the TSXV Corporate Finance Policy Manual (the "Policy 5.2 Amendments") on December 15, 2016. Policy 5.2 outlines procedures and filings for TSXV or NEX-listed issuers entering into transactions resulting in a Change of Business ("COB") or Reverse Takeover ("RTO"). Pursuant to the Policy 5.2 Amendments, the express purpose of Policy 5.2 is to enable issuers to efficiently complete a COB or RTO while protecting the interests of affected shareholders and preserving the integrity of the capital market.

A summary of the notable substantive amendments, such as changes to shareholder approval requirements, is provided below.