Bullboard - Stock Discussion Forum Fission Uranium Corp T.FCU

Alternate Symbol(s): FCUUF

Energy

Fission Uranium Corp. is a Canada-based resource company. The Company’s principal business activity is the acquisition and development of exploration and evaluation assets. The Company is a resource issuer specializing in uranium exploration and development in Saskatchewan’s Athabasca Basin in Western Canada. The Company’s primary asset is the Patterson Lake South (PLS) project, which hosts the... see more

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Fission Uranium Corp > Assessment of Deal

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Post by retiredcf on Jul 01, 2024 1:56pm

Assessment of Deal

PDN has offered 0.1076 PDN shares for each FCU share, implying a value of $1.30/share, a 25% premium. FCU's board has approved the deal, but only 0.7% of the shares are locked up and committed. Closing is expected in September. The combined company will have larger scale, a good development pipeline and a larger global presence. The price does seem low, but FCU's main project does have some technical challenges, and is not a slam dunk. It also requires relatively high uranium prices. PDN already has some Canadian exposure as well, so perhaps does not 'need' this at a higher premium and priced accordingly. We would put odds of another bid at about 15% here. (5iResearch)

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