Uranium Energy Announces Intention to Acquire UEX Corporation

August 06, 2022. By News Bureau

Uranium Energy Corp. announces that, it has advised UEX Corporation that it is submitting a superior offer to the acquisition proposal made by Denison Mines Corp. for all of the issued and outstanding shares of UEX.

Under the terms of UEC's revised offer, each holder of UEX Shares will now receive 0.0890 of one common share of UEC for each UEX Share held, implying consideration of approximately C$0.49 per UEX Share based on the closing price of UEX Shares and UEC Shares on the Toronto Stock Exchange and the NYSE American Exchange, respectively, and the spot exchange rate as of August 5, 2022.

The Revised UEC Offer also increases the break fee by 7%, which is an increase proportional to the percentage increase in the offered exchange ratio under the Revised UEC Offer.

Amir Adnani, President and CEO, stated: "After careful analysis and consideration, we firmly believe the Revised UEC Offer represents a value-creating opportunity for UEC and UEX shareholders. We remain disciplined with respect to pursuing accretive growth and the Revised UEC Offer strikes a balance of a modest increase in the exchange ratio while doubling UEC's uranium resources at only a 14.2% dilution to our outstanding shares. This transaction highlights UEC's sector leading strategy as the fastest growing, pure play, 100% unhedged uranium company and will create the largest, diversified North American focused uranium company.

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