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Uranium One Inc. (TSX:UUU) announced that it has agreed to sell itself to JSC Atomredmetzoloto (ARMZ) and Effective Energy NV, its affiliate, for C$2.86 per share, which amounts to a total of C$1.3 billion. ARMZ already owns 51.4 percent of Uranium One’s common shares.
Uranium One Inc. (TSX:UUU) announced that it has agreed to sell itself to JSC Atomredmetzoloto (ARMZ) and Effective Energy NV, its affiliate, for C$2.86 per share, which amounts to a total of C$1.3 billion. ARMZ already owns 51.4 percent of Uranium One’s common shares.
As quoted in the press release:
Under the Plan of Arrangement, ARMZ would acquire all of the Common Shares that ARMZ and its affiliates do not already own for cash consideration of CDN$2.86 per share. The cash consideration represents a 32% premium to the 20-day volume weighted average price of the Common Shares on the Toronto Stock Exchange for the period endingJanuary 11, 2013. The transaction provides total consideration to minority shareholders of approximately CDN$1.3 billion and implies an equity value for Uranium One of approximately CDN$2.8 billion.
Ken Williamson, chairman of Uranium One’s independent committee, commented:
This proposal represents a significant premium to the 20 day volume weighted average price of the Common Shares prior to today’s announcement. We recommend that shareholders vote in favour of the Plan of Arrangement at the special meeting of shareholders that will be called to approve the transaction.
Click here to read the full Uranium One Inc. (TSX:UUU) press release.