Sprott Physical Gold Trust has completed its follow-on offering of 24,840,000 units at US$11.25 per unit for gross proceeds of US$279,450,000.

The trust will use the net proceeds of the offering to acquire physical gold bullion.

The trust was created to invest and hold substantially all of its assets in physical gold bullion and managed by Sprott Asset Management LP.

The offering was made simultaneously in the United States and Canada through a syndicate of underwriters led by Morgan Stanley and RBC Capital Markets in the United States and RBC Capital Markets and Morgan Stanley in Canada. The underwriters for the Offering in Canada also included TD Securities Inc., BMO Capital Markets, Canaccord Genuity Corp., HSBC Securities (Canada) Inc., National Bank Financial Inc. and GMP Securities L.P.

The offering includes the exercise in full by the underwriters of their over-allotment option.

IE