GMS Video: SCP Resource sees opportunity in M&A, ‘ultra-low’ junior valuations

Brandon Gaspar, VP and research analyst with SCP Resource Finance, speaks with Northern Miner Group president Anthony Vaccaro at the Global Mining Symposium in Toronto in May. Credit: Erik Rotter/TNM

SCP Resource Finance was formed in May, after a management-led buyout of Sprott Capital Partners from Sprott Inc. At The Northern Miner’s recent Global Mining Symposium, Brandon Gaspar, VP and Research Analyst at SCP Resource Finance discussed the reasons behind the separation.

While Sprott has traditionally done well in precious metals, Gaspar said that the intense focus on critical minerals now offers a “double growth opportunity moving in parallel that we want to lead.”

The investment dealer sees opportunity in the disconnect happening between merger activity being concentrated among the majors while juniors languish at “ultra-low valuations,” Gaspar said. He also noted that B2Gold’s acquisition of Sabina Gold & Silver for its asset in Nunavut “reaffirms the thesis… to be very bullish on Canada.”

Watch the full conversation between Gaspar and Northern Miner Group president Anthony Vaccaro, which took place at the TMX Event Centre on May 25.

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