TSX Approves Powertech Uranium and Azarga Resources Merger

The TSX has given conditional approval to the merger between Powertech Uranium (TSX:PWE) and Azarga Resources. The new company will be called Azarga Uranium Corporation. The TSX also conditionally approved the company’s $5 million private placement, with the company issuing up to 84 million units at a price of $0.06 per unit.

According to the press release:

The TSX has notified the Company of its conditional approval for the acquisition of all of the issued and outstanding common shares of Azarga Resources in exchange for common shares of Powertech (the “Transaction”) pursuant to the Share Purchase Agreement dated 25 February 2014 and subsequently amended.

Concurrently, the TSX conditionally approved the Company’s $5.0 million private placement (the “Financing”) (see the Company’s press release dated 10 September 2014). The Company received conditional approval to issue up to 84 million units (each, a “Unit”) at a price of $0.06 per Unit pursuant to the Financing. Units consist of one common share of the Company and one-half of a share purchase warrant. The funds related to the $5.0 million private placement have been received and will be held in escrow for release on completion of the proposed Transaction. The securities to be issued pursuant to the Financing will be subject to a hold period of four months and one day from the date of issuance, and a finder’s fee will be paid on certain subscriptions in connection with the Financing.

Click here to read the Powertech Uranium Corp. (TSX:PWE) press release