Strategem Announces Commencement of Substantial Issuer Bid

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Dec. 18, 2015) - Strategem Capital Corporation ("Strategem" or the "Company") (TSX VENTURE:SGE) is pleased to announce, further to its news release issued on December 11, 2015, the Company has formally commenced its substantial issuer bid (the "Offer"), pursuant to which Strategem has offered to repurchase for cancellation up to 600,000 Class A common shares (the "Shares") at a purchase price of $0.90 per Share. The Offer will expire at 5:00 p.m. (Eastern time) on January 29, 2016, unless extended or withdrawn by Strategem.

The formal offer to purchase and issuer bid circular, together with the related letter of transmittal and notice of guaranteed delivery (the "Offer Documents"), containing the terms and conditions of the Offer and instructions for tending the Shares, among other things, are being mailed to shareholders and will be filed today with the applicable securities regulators and available on SEDAR at www.sedar.com.

None of Strategem or its Board of Directors makes any recommendation to shareholders as to whether to tender or refrain from tendering any or all of their Shares to the Offer. Shareholders are urged to read the Offer Documents carefully and in their entirety, and to consult their own financial, tax and legal advisors and to make their own decisions whether to tender or refrain from tendering their Shares to the Offer and, if so, how many Shares to tender.

Any questions or requests for assistance in tendering Shares to the Offer may be directed to Computershare Investor Services Inc., the depositary for the Offer.

About Strategem Capital Corporation

Strategem is a publicly-traded merchant bank involved in acquiring interests in and developing companies with growth potential. The Company takes early debt and/or equity positions in such growth companies. The Company's focus is on companies that explore or develop natural resources.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.