IsoEnergy to buy Consolidated Uranium

IsoEnergy (Pre-Reincorporation)

27/09/2023 12:00

Sept 27 (Reuters) - Uranium miner IsoEnergy  ISO.V  said
on Wednesday that it would buy all the shares of Consolidated
Uranium  CUR.V  it does not already own in an all-stock deal,
valuing the combined company at C$903.5 million ($667.9
million).
    The deal is expected to close in the fourth quarter of this
year, post which Consolidated Uranium shareholders would own
29.5% of the combined company, while the rest will be held by
IsoEnergy.
        Uranium 
    prices
     are trading around $66.25 a pound, their highest since the
2011 Fukushima disaster, as mounting worries over climate change
accelerate a global shift to cleaner sources of energy,
including nuclear power.
  
    A push to improve energy security, particularly after
Russia's invasion of Ukraine upended global oil markets, has
also stoked demand, while supplies remain constrained.
    Consolidated Uranium shareholders would receive 0.500 of a
common share of IsoEnergy for each share held.
    The deal values entire Uranium Consolidated at C$240.7
million or C$2.405 per share, representing a premium of 26% to
the stock's last close, as per Reuters calculations.

($1 = 1.3532 Canadian dollars)

 (Reporting by Tanay Dhumal in Bengaluru; Editing by Varun H K)
 ((Tanay.Dhumal@thomsonreuters.com; Twitter: https://twitter.com/TanayDhumal;))