Eric Sprott will purchase 10 million common shares of from Luxor CapitalPartners LP and affiliates at US$2.25 per share for a total of US$22.5 million,the company said in an April 4 release.

Sprott will now own 15,151,196 common shares in Newmarket, representingabout an 8.7% ownership. Sprott also acquired the first right of refusal to buyan additional 16.2 million shares from Luxor. This right will expire Dec. 31.

Meanwhile, Luxor will continue to hold 50,090,697 common sharesof Newmarket, representing about a 28.7% ownership, with the shareholding beinglocked-up and restricted from trading until July 10.

Newmarket has approximately 174.7 million shares issued and outstanding.

Previously, holders convertedsome US$34.3 million of the company's US$34.5 million 8% convertible unsecured debenturesdue April 30, 2018, into common shares prior to the redemption date.