Fission Uranium Corp. (
TSX: V.FCU,
Stock Forum) said that, on Aug. 23, 2013, Fission made a proposal to acquire all of the issued and outstanding common shares of
Alpha Minerals Inc. (
TSX: T.AMW,
Stock Forum) by way of share transaction to Alpha's Board of Directors.
According to the
Fission Uranium press release, the proposal expired at 5:00 p.m. (Toronto time) on August 25, and if Alpha continues to refuse to engage with Fission on the proposal, Fission will consider making a formal offer directly to Alpha's shareholders.
As part of the proposed transaction an Alpha shareholder would receive, in exchange for each of their Alpha shares, 5.3 common shares of Fission, representing a price of $7.26 per Alpha share based on Fission's closing price on the TSX Venture Exchange on August 23, 2013.
If approved, Alpha would have the opportunity to appoint two members to the Board of Directors of Fission.
According to Fission, exchanging Alpha shares for Fission shares would consolidate 100% of the Patterson Lake South project (PLS), a uranium project located on the Saskatchewan side of the Athabasca Basin, into one unified company, which would send a strong message to the market that the future for the PLS discovery is very promising.
Currently, the 31,039-hectare PLS project is a 50/50 joint venture held by Fission and Alpha. Drilling has discovered significant high-grade and shallow uranium mineralization in four on-strike zones along a 1.05 kilometre trend.
A $6.95 million, 44 hole, 11,000 metre drill program and ground geophysics surveys is in progress at PLS.
Fission is a Canadian-based resource company specializing in the strategic acquisition, exploration and development of uranium properties.
On Monday, Fission was up 3.7% and was trading at $1.42 a share. The company had a market cap of $213.7 million, based on 150.5 million shares outstanding.