(TheNewswire)
Saskatoon, Saskatchewan – TheNewswire - August 9, 2022 – UEX Corporation (TSX:UEX) (OTC:UEXCF) (“ UEX ” or the “ Company ”) announcesthat the Board of Directors of the Company (the“ Board ”) has unanimously determined, after consultation with itsfinancial and legal advisors, that the unsolicited non-binding proposal that was received by the Company fromDenison Mines Corp. (“ Denison ”) on August 8, 2022 (the “ DenisonOffer ”) for the acquisition of all of theissued and outstanding common shares of UEX (“ UEX Shares ”) inconsideration for common shares of Denison (“ Denison Shares ”)constitutes a “Superior Proposal” under the arrangement agreementdated June 13, 2022, as amended June 23, 2022 and August 5, 2022,among UEX, Uranium Energy Corp. (“ UEC ”) and UEC 2022Acquisition Corp. (the “ UECArrangement Agreement ”).
Pursuant to the terms of the Denison Offer, Denisonproposes to acquire each UEX Share in exchange for 0.32 DenisonShares, which represents a 7% premium to the price implied by the UECArrangement Agreement based on the one-day volume weighted averageprice on August 8, 2022, and a 9% premium to the 20-day volumeweighted average price to August 8, 2022 implied by the UECArrangement Agreement.
In accordance with the UEC Arrangement Agreement, theCompany notified UEC on August 9, 2022 that it considers the DenisonOffer to be a Superior Proposal. UEC has the right, for a period offive business days from receipt of UEX's notice, to offer to furtheramend the terms of the UEC Arrangement Agreement.
At this time, there can be no assurance that theDenison Offer will lead to a termination of the UEC ArrangementAgreement and the execution of a definitive agreement or any otheragreement with Denison, or that the Denison Offer, and any transactionrelated thereto or any similar transaction, will be approved orconsummated by the Board or the securityholders of the Company.Accordingly, the Board has not changed its recommendation regardingthe transaction under the UEC Arrangement Agreement.
About UEX
UEX is a Canadian uranium and cobalt exploration anddevelopment company involved in an exceptional portfolio of uraniumprojects.
UEX’s directly-owned portfolio of projects is locatedin the eastern, western and northern perimeters of the AthabascaBasin, the world's richest uranium region which in 2020 accounted forapproximately 8.1% of the global primary uranium production. Inaddition to advancing its uranium development projects through itsownership interest in JCU, UEX is currently advancing several otheruranium deposits in the Athabasca Basin which include the Paul Bay,Ken Pen and ?rora deposits at the Christie Lake Project, the Kianna,Anne, Colette and 58B deposits at its currently 49.1%-owned Shea CreekProject, the Horseshoe and Raven deposits located on its 100%-ownedHorseshoe-Raven Project and the West Bear Uranium Deposit located atits 100%-owned West Bear Project.
UEX is also 50:50 co-owner of JCU (Canada) ExplorationCompany, Limited (“JCU”). JCU’s portfolio of projects includesinterests in some of Canada’s key future uranium developmentprojects, notably a 30.099% interest in Cameco’s Millennium Project,a 10% interest in Denison’s Wheeler River Project, and a 33.8123%interest in Orano Canada’s Kiggavik Project, located in the ThelonBasin in Nunavut, as well as minority interests in nine othergrassroots uranium projects in the Athabasca Basin.
UEX is also leading the discovery of cobalt in Canada,with three cobalt-nickel exploration projects located in the AthabascaBasin of northern Saskatchewan, including the only primary cobaltdeposit in Canada. The 100% owned West Bear Project hosts the WestBear Cobalt-Nickel Deposit, the newly discovered Michael Lake Co-NiZone, and the West Bear Uranium Deposit. UEX also owns 100% of twoearly-stage cobalt exploration projects, the Axis Lake and Key WestProjects.
For further information, pleasecontact:
Roger Lemaitre
President & CEO
(306) 979-3849
www.uexcorp.com
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