A-Mark acquires additional 8% interest in Silver Gold Bull for $9.6M

A-Mark Precious Metals has acquired an additional 8% of the outstanding equity interest in Calgary-based Silver Gold Bull for approximately $9.6 million. The investment brings A-Mark’s ownership in SGB to 55.4% and continues to expand A-Mark’s direct-to-consumer footprint in the international market. A-Mark acquired its initial stake in SGB in 2014, increasing its investment to 47.4% in 2022. Founded in 2009, SGB is a leading e-commerce precious metals retailer in Canada focused on providing online innovation, high-quality products, competitive pricing, and excellent customer service. Transaction Summary: A-Mark paid approximately $9.6 million for an additional 8% of the outstanding equity interest in SGB. A-Mark’s previous option to increase its ownership interest in SGB has been reduced from 75% to 70%. The option, previously set to expire in September 2024, has been extended to September 2025. Employment agreements have been entered into with key SGB management, including Nikolas Morianos, Mihali Belandis and President and Co-Founder Bob Belandis. SGB financial and operational highlights for the fiscal year ended April 30, 2024, include: Net sales of $467.9 million, gross profit of $20.8 million and pre-tax income of $4.2 million. Sold more than 7.85 million ounces of silver and 151,000 ounces of gold. Added approximately 53,000 new customers, for a total of 520,000 customers as of April 30, 2024. Processed approximately 105,000 orders.