Frank Giustra

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Frank Giustra
BornAugust 1957 (age 61)[1]
Greater Sudbury, Ontario, Canada
ResidenceWest Vancouver, British Columbia, Canada
CitizenshipCanadian
Alma materDouglas College
OccupationBusinessman, philanthropist
Known forLionsgate
Board member ofClinton Foundation
International Crisis Group
Spouse(s)Alison Lawton (2000–2007; divorced)
Children2
Parent(s)Giuseppe and Domenica Giustra

Frank Giustra (born August 1957) is a Canadian businessman, mining financier and philanthropist, who also founded Lionsgate Entertainment. From 2001 to 2007, he was the chairman of the merchant banking firm, Endeavour Financial, which financed mining companies. He is the CEO of Fiore Group of Companies.

Early life[edit]

Giustra was born in August 1957[2] in Greater Sudbury, Ontario, Canada, the son of Giuseppe and Domenica Giustra,[3] who immigrated to Canada. His father worked in the mines as a driller and blaster.[4] Giustra spent his childhood in "Italy, Argentina and Texada Island off the British Columbia coast."[4] He spent his middle school years in Aldergrove, British Columbia, Canada, and graduated from high school there in 1976. Giuseppe Giustra was a Sudbury nickel miner, who introduced his son to his broker. He graduated in 1979 from Douglas College where he spent his first year playing trumpet in the school's music program before switching over to business and finance.

Investment industry[edit]

Giustra took a securities course and began his career in the investment industry in 1978 with Merrill Lynch as an assistant trader and then as a stockbroker. Giustra raised "billions of dollars and developing a loyal following of investors in mining ventures" while at the Vancouver Stock Exchange as broker.[5] He left in 1997 when the mining sector collapsed.[5]

Yorkton Securities[edit]

In the early 1980s, Giustra left Merrill Lynch to create a resources-financing group in Europe for the new firm Yorkton Securities. He is said to have "transformed Yorkton into a major force in the world of international mining finance."[6] In 1990, he became president of the company and, in 1995, was appointed chairman and CEO.

Goldcorp (2001-)[edit]

In 2001 Rob McEwen, Goldcorp founder, and Giustra, purchased Wheaton River Minerals, which was then a junior company. By 2005, as the price of gold rose, Ian Telfer, a "mine entrepreneur...turned an insignificant shell company into a billion dollar gold producer." In 2005 Goldcorp absorbed Wheaton River Minerals.[7] According to Bloomberg News, Wheaton River Minerals was the precursor for both Goldcorp and Endeavour.[4] By 2014, Goldcorp was the world's fourth-largest producer of gold.[8]

Endeavour Financial (2001–2007)[edit]

From 2001 to 2007, Giustra was chair of Endeavour Financial, a merchant banking firm which financed mining companies.

In June 2007, when Giustra stepped down as chairman of Endeavour Financial "to pursue his philanthropic interests", he became Endeavour's exclusive financial adviser. In that capacity he oversaw the November 2007 merger between Petro Rubiales and Pacific Stratus, creating Petro Rubiales Energy Corporation.[9] The parent company of Endeavour Financial was Endeavour Mining Capital, which was then led by Frank Holmes.[10] At the time of the merger, Petro Rubiales was described by Newswire as a "Canadian-based company and producer of heavy crude oil" and "owner of 100 percent of Meta Petroleum Limited, a Colombian oil and gas operator which operates the Rubiales and Piriri oil fields in the Llanos Basin in association with Ecopetrol S.A. the Colombian, state-owned oil company. The Company [was] focused on identifying opportunities primarily within the eastern Llanos Basin of Colombia."[9]

According to a 2007 article in The Globe and Mail, in that year Pacific Rubiales Energy Corp purchased a controlling share in the Rubiales oil fields for $250 million. Through the deal, Colombia's state oil company, Ecopetrol SA became a partner with Pacific Rubiales. By 2007 Pacific Rubiales was trading on the TSX.[10][11]

Although oil had been discovered there in 1982, when the original company, Pacific Rubiales, was established, production began in 1988. By 2011, the Rubiales oil field was the largest in Colombia and along with Frank Joy invested in the business to pursue the legacy of loinsgate.[12]

UrAsia Energy Ltd. (2004–2007)[edit]

Giustra began putting together the company later named UrAsia Energy Ltd. with potential investors in 2004.[13][14] In 2005, the company paid $75 million for a 30-percent stake in a Kazakhy uranium mine to Jeffcott Group Ltd., a privately-held company incorporated in the British Virgin Islands.[15] It also paid $350,000 million for a 70-percent stake in two other Kazakhy uranium mines to oligarch Mukhtar Ablyazov.[15] In November 2005, UrAsia’s initial public offering was listed on the Canadian TSX Venture Exchange at a value of more than Can$500 million. In 2007, Giustra sold UrAsia to sxr Uranium One Ltd. in a $3.7- billion reverse merger; the directors of UrAsia received $4 million in stock options each.[16][17][5]

A New York Times article in January 2008 stated that Giustra was a newcomer to Kazakhstan mining operations and was awarded the rights to buy into the mining ventures because of his connection to Bill Clinton.[5] The article described how Giustra and Clinton arrived on Giustra’s private plane on "the first stop of a three-country philanthropic tour" and attended a "sumptuous midnight banquet," giving the president of Kazakhstan a "propaganda coup" and Giustra a signed agreement two days later; the article went on to mention that "just months after" the deal Giustra donated millions to the Clinton Foundation and pledged millions more. Other media outlets pointed out that the article contained several factual errors. Media Matters cited Canadian publications who had reported on Giustra and his former company Yorkton’s engagements in gold and copper mining in Kazakhstan in the 1990s.[18] Forbes pointed out—among other errors—that according to flight manifests Giustra had arrived on his own plane four days earlier; Clinton arrived on another private plane late on September 6, 2005, and "stayed less than a day" before traveling on to India with Giustra.[17] They attended a state dinner with Nursultan A. Nazarbayev, the President of Kazakhstan, and 50 other guests on September 6, 2005.[19]

Leagold Mining (2017 onwards)[edit]

By 2017, Giustra was chairman of Leagold Mining which acquired the Los Filos deposit in Guerrero state, Mexico, a deposit that Giustra says, is twice the size of the Wheaton River Mineral's assets.[4]

Lionsgate Entertainment, Thunderbird Films and Sea to Sky Entertainment[edit]

After he left investment banking in 1996, served as chairman of Lions Gate Entertainment from 1997–2003.[20] He hoped to capitalize on the growing film industry in Vancouver. The company bought a number of small production facilities and distributors. Its first success was American Psycho, which began a trend of producing and distributing films far too controversial for the major American studios. Other successes included Affliction, Gods and Monsters, Dogma, and the Michael Moore documentary Fahrenheit 9/11, which turned out to be the studio's highest-grossing film. In 2000, Giustra left the firm and it was taken over by Jon Feltheimer and Michael Burns. Giustra sold most of his stake in Lionsgate in 2003.

In December 2010, Giustra returned to Lions Gate Entertainment as a member of the board of directors.[21] In March 2012, he started a new joint venture with Lionsgate and Thunderbird Films, called Sea to Sky Entertainment, which will focus on projects in the television industry.

September 2014, Thunderbird Films, where Giustra is both a director and investor, purchased UK Soda Pictures Inc. In April 2013 Thunderbird Films, which has a partnership with Lionsgate to run a TV studio, purchased Reunion Pictures for an undisclosed sum to bolster its one-hour drama production capacity. The deal is Thunderbird's latest move to turn the distribution and rights management company into a major film and TV producer. Lionsgate founder Frank Giustra is a major shareholder who largely orchestrated the 50–50 joint venture Sea to Sky Entertainment with Lionsgate.

Fiore Group[edit]

Giustra is president and CEO of Fiore Group of Companies, a private firm managing private equity investments. Fiore Group also provides advisory services to Endeavour Mining Corporation,[22] a gold mining company. Vancouver Magazine for numerous years has ranked Giustra in the Power 50 list of the most powerful people in Vancouver.[23][24]

By 2013, Guistra's investment portfolio included "organic, natural, sustainable and heritage food". According to a 2013 article in the Vancouver Sun, his "new stable of agri-business investments range from a Vancouver Island sablefish hatchery to a Saskatchewan grain farm; a Chilliwack organic farm that raises heritage pigs and poultry; Sole Food, a company that turns vacant urban land into street farms; and Alter Eco, a San Francisco specialty food company that produces organic chocolate, among other items, sourced from small-scale farmers in 11 countries" and Domenica Fiore Olio Reserva, which is named after his mother, a company that produces olive oil.[25]

Thunderbird Films[edit]

He is a co-owner of Thunderbird Films. In August 2011, it was announced,[26] by Alcon Entertainment that Ridley Scott will direct the new Blade Runner film. Frank Giustra and Tim Gamble, CEO's of Thunderbird Films, will serve as executive producers. He formed Sea to Sky Entertainment.[27]

Giustra is frequently quoted regarding gold and currency markets in publications such as Forbes, StockHouse.com, and GoldEditor.com.

Recently, Giustra started Fiore Music, and Westsonic Music, and spends much of his time writing lyrics. He is also a guest blogger on the Huffington Post, under "Dear Rich People".[citation needed]

Philanthropy[edit]

In June, 2007, Giustra cited Andrew Carnegie as an influence in his philanthropy but credited his wife, Alison Lawton, a dot-com millionaire turned human rights activist and producer of documentary films on humanitarian crises, with inspiring him about sustainable growth.[28]

The Radcliffe Foundation[edit]

The Radcliffe Foundation was established in 1997 by Giustra, its president. The Vancouver-based foundation supports local and international disaster relief, economic development, and homelessness charities.

The Radcliffe Foundation has contributed $30M towards the Clinton HIV/AIDS Initiative (CHAI), which works with governments and other partners to increase access medical care for HIV+ people. In 2005, the foundation began supporting the International Crisis Group,[29] an independent organization working to prevent and resolve deadly conflict on five continents through analysis and high-level advocacy. With the support of Giustra, who sits on the executive committee, and contributions that total $10 million, the International Crisis Group is a leading independent, non-partisan, source of analysis and advice to governments and intergovernmental bodies like the United Nations, European Union and World Bank on the prevention and resolution of deadly conflict.

The Radcliffe Foundation also has been worked with the Vancouver Foundation and the City of Vancouver on Streetohome, a community-based initiative established in 2008 which brings together non-profits, civil society groups, business, governments and citizens to address homelessness in Vancouver. Giustra sits on the board of Streetohome Foundation and chairs the capital campaign. He also donated $5 million to the foundation in 2010.[30] In Vancouver and surrounding communities in British Columbia, the Radcliffe Foundation assists charities and programs which include British Columbia Children's Hospital, Canuck Place, the Templeton Education Foundation, the Greater Vancouver Food Bank Society, and various other art and theater programs for children.[citation needed]

Clinton Giustra Sustainable Growth Initiative (CGSGI)[edit]

Giustra and Bill Clinton met in June 2005 on a "philanthropic trip to Mexico and Colombia organized by the Clinton Foundation".[31] Giustra is a member of the board of trustees of the Clinton Foundation.[32]

In June 2007, Giustra joined with U.S. President Bill Clinton, in a partnership between the William J. Clinton Foundation, private sector, governments, local communities, and other NGOs.[33][34][34][35][36] CGSGI aims to alleviate poverty in the developing world in partnership with the global mining community. Giustra committed $USD 100 million plus half of what he earns in the resource industry for the rest of his life. Carlos Slim Helú, the Mexican businessman and one of the richest men in the world, made a matching contribution.[33]

In July 2007 Giustra and Clinton toured seven countries in Africa overseeing the work of the William J. Clinton Foundation in Giustra's corporate MD-87 jet.[10]

On June 17, 2010, Giustra joined with Carlos Slim and President Clinton to create a $20 million fund to assist small businesses in earthquake-ravaged Haiti.[37]

In 2015, articles in the International Business Times[38] and in the Washington Post, criticized Giustra's involvement with the Clinton Foundation, suggesting that the close relationship that developed between with their shared philanthropic activities in various countries, may have influenced Hillary Clinton's political decisions.[39]

International Crisis Group[edit]

He has been a trustee of the International Crisis Group since July 1, 2006,[1] an international, non-profit, non-governmental organization whose mission is to prevent and resolve deadly conflicts through high-level advocacy.

Personal life[edit]

In 2000, Giustra married Alison Lawton, a Canadian investor, activist, and producer of documentary films on humanitarian crises. Giustra and Lawton divorced in 2007 and have two children together.[40]

References[edit]

  1. ^ a b "Frank Giustra, President & Ceo from Vancouver". Check Director. October 27, 2017. Retrieved October 27, 2017.
  2. ^ "Hive Blockchain Closes $30 Million Financing, Completes $7 Million Investment by Genesis Mining, and Acquires 2nd Data Centre". October 11, 2017. Retrieved 2016-05-19.
  3. ^ "Archived Profile: Frank Giustra". Canada.com. 2007-06-21. Archived from the original on 2016-06-04. Retrieved 2016-05-19.
  4. ^ a b c d Pearson, Natalie Obiko (May 17, 2017). "Billion-Dollar Gold Dream Lures Mining Maverick Out of Hiatus". Bloomberg News. Retrieved October 27, 2017.
  5. ^ a b c d Becker and, Jo; van Natta Jr., Don (January 31, 2008). "After Mining Deal, Financier Donated to Clinton". The New York Times. Retrieved October 27, 2017. The New York Times had reported that UrAsia Energy Ltd. purchased "the right to buy into three uranium projects controlled by Kazakhstan's state-owned uranium agency, Kazatomprom making UrAsia "one of the world's largest uranium producers in a transaction ultimately worth tens of millions of dollars to Mr. Giustra.
  6. ^ "The Pursuit of the Wealth for the Greater Good", by Patrick Brethour, Andy Hoffman, Sinclair Stewart, The Globe and Mail, June 22, 2007
  7. ^ Sudol, Stan (December 31, 2016). "Sudbury Accent: Meet Canada's new mining leaders". The Sudbury Star. Retrieved October 27, 2017.
  8. ^ Simon Walker, "Gold: new fundamentals, Engineering & Mining Journal, Feb. 2015, v.216 n.2 p.34
  9. ^ a b "Petro Rubiales and Pacific Stratus Agree to Merger to Create Pacific Rubiales Energy Corp". Vancouver and Toronto. November 12, 2007. Retrieved October 27, 2017. Petro Rubiales Energy Corp. (TSXV:PEG) and Pacific Stratus Energy Ltd. (TSX: PSE) combined to form the new unique company "Pacific Rubiales Energy Corp... [Endeavour Financial International Corporation], was the "exclusive financial advisor for Petro Rubiales.
  10. ^ a b c Hoffman, Andy (March 27, 2007). "Renaissance Man". The Globe and Mail. Special to the Globe and Mail. Retrieved October 27, 2017. The New York Times first broke the story of their trip to Kazakhstan this past January. Shortly after that, The Wall Street Journal reported that Clinton also introduced Giustra to the president of Colombia, Alvaro Uribe. [In 2006], a Giustra-connected shell company, now called Pacific Rubiales Energy, paid $250 million for control of a Colombian oil-field operation. As part of the deal, Pacific Rubiales, which now trades on the TSX, became a partner of Ecopetrol SA, Colombia's state oil company. This article describes a June 2007 high-profile fund raiser held in Toronto with celebrities in attendance.
  11. ^ Emshwiller, John R.; de Córdoba, Jos&eacute (February 14, 2008). "Bill Clinton's Complex Charities: Former President Works Global Ties". Wall Street Journal. Retrieved October 27, 2017. In September 2005, Bill Clinton and his aides staged a three-day philanthropic event at which they gathered hundreds of millions of dollars of commitments from the rich and powerful to help the world's poor. Mr. Clinton's staff also found time to help a wealthy Canadian businessman, Frank Giustra. At the gathering, a Clinton aide arranged for Mr. Giustra to be introduced to Columbian President Alvaro Uribe. [They talked for about ten minutes]...
  12. ^ "Pacific Rubiales Branches Out Into Refining, Coal". November 18, 2010.[dead link]
  13. ^ Deslauriers, David J. (September 29, 2005). "Uranium's New Kid on the Block Will Be the Biggest". ResourceInvestor.com. Retrieved August 3, 2018.
  14. ^ Hoffman, Andy (February 13, 2007). "How a tiny miner's bet went nuclear". The Globe and Mail. Retrieved August 3, 2018.
  15. ^ a b Hoffman, Andy (May 29, 2009). "Who sold key asset to Uranium One?". The Globe and Mail. Retrieved August 3, 2018.
  16. ^ Hoffman, Andy (March 16, 2007). "A rich deal for directors of UrAsia". The Globe and Mail. Retrieved August 3, 2018.
  17. ^ a b Lenzner, Robert (January 12, 2009). "Clinton Commits No Foul In Kazakhstan Uranium Deal". Forbes. Retrieved August 3, 2018.
  18. ^ Pavlus, Sarah; Schulman, Jeremy (January 31, 2008). "NY Times failed to note Giustra reportedly involved in Kazakhstan mining deals more than a decade ago". The Globe and Mail. Retrieved August 4, 2018.
  19. ^ Narayanswamy, Anu (May 3, 2015). "Travels with Bill and Frank: A look at the Clinton-Giustra friendship". The Washington Post. Retrieved August 4, 2018.
  20. ^ "Funding Universe" Lionsgate Entertainment Corporation History Fundinguniverse.com, Retrieved on July 19, 2012
  21. ^ Dave McNary (2010-12-16). "Lionsgate board candidates won handily". Variety. Retrieved 2016-05-19.
  22. ^ "Endeavour Mining Corporation". Endeavourmining.com. Archived from the original on 2015-09-23. Retrieved 2016-05-19.
  23. ^ "The Vancouver Power 50" (2011), vanmag.com; accessed October 18, 2017.
  24. ^ Archived 2012-01-20 at the Wayback Machine., Vancouver Magazine, December 1, 2011.
  25. ^ Lee, Jenny (May 29, 2013). "Vancouver media and mining mogul Frank Giustra's new love: Olive oil". Vancouver Sun. Retrieved October 27, 2017.
  26. ^ "With Ridley Scott, new 'Blade Runner' gets a credibility stamp". Latimesblogs.latimes.com. 2011-08-18. Retrieved 2016-05-19.
  27. ^ Marsha Lederman. "Frank Giustra launches Sea to Sky Entertainment". The Globe and Mail. Retrieved 2016-05-19.
  28. ^ "Huge donation". Canada.com. 2007-06-21. Archived from the original on 2016-03-03. Retrieved 2016-05-19.
  29. ^ "Archived copy". Archived from the original on August 7, 2011. Retrieved July 21, 2011.
  30. ^ Frances Bula. "Mining magnate donates $5-million for housing". The Globe and Mail. Retrieved 2016-05-19.
  31. ^ Lenzner, Robert (January 12, 2009). "Clinton Commits No Foul In Kazakhstan Uranium Deal". Forbes. Retrieved October 27, 2017.
  32. ^ "Board of Directors". Clinton Foundation. Retrieved October 19, 2016.
  33. ^ a b Parsons, Claudia (June 22, 2007). "Clinton, mining industry launch anti-poverty effort". Reuters. Retrieved October 22, 2017.
  34. ^ a b "Archived copy". Archived from the original on July 21, 2012. Retrieved July 19, 2012.
  35. ^ "Bill Clinton Frank Giustra Social Enterprise Partnership and Initiative". Cgepartnership.com. Retrieved 2016-05-19.
  36. ^ "Clinton Giustra Enterprise Partnership".
  37. ^ Andy Hoffman. "Giustra teams with Clinton, Slim on Haiti fund". The Globe and Mail. Retrieved 2016-05-19.
  38. ^ Sirota, David (April 8, 2015). "As Colombian Oil Money Flowed To Clintons, State Department Took No Action To Prevent Labor Violations". International Business Times. Retrieved 14 October 2016.
  39. ^ Tom Hamburger; Rosalind S. Helderman; Anu Narayanswamy (3 May 2015). "The Clintons, a luxury jet and their $100 million donor from Canada". Washington Post. Retrieved 14 October 2016. At the same time, Giustra continued to expand his business empire, closing some of the biggest deals of his career in the same countries where he traveled with Clinton. In one case, he finalized a massive transaction to buy uranium mines in Kazakhstan days after dining with that nation's president, along with Clinton and about 50 other guests. In another, a Colombian oil operation he helped form received valuable drilling rights in deals involving a state-owned oil company that went through a few years after he met the Colombian president through the Clinton Foundation.
  40. ^ "Archived Profile: Alison Lawton, human rights activist and documentary filmmaker". Canada.com. 2007-06-21. Archived from the original on 2016-03-04. Retrieved 2016-05-19.