Paladin Energy to Acquire Fission Uranium Corp. in C$1.14 Billion Deal

Paladin Energy Limited and Fission Uranium Corp. have entered into a definitive arrangement agreement, where Paladin will acquire 100% of the issued and outstanding shares of Fission for an estimated C$1.14 billion. The acquisition is expected to create a leading clean energy company with a diversified presence across top uranium mining jurisdictions in Canada, Namibia, and Australia.

Key Takeaways:

• Fission shareholders will receive 0.1076 fully paid shares of Paladin for each Fission share held at the closing of the transaction.
• The offer consideration represents an implied value of C$1.30 per Fission share, a 25.8% premium to the closing price on the TSX, and a 30.0% premium to the 20-day VWAP.
• Upon completion, Fission shareholders will own 24.0% of Paladin, with a pro-forma market capitalization of approximately US$3.5 billion.
• Paladin has applied for listing of its shares on the TSX, and Fission shareholders will receive TSX-listed Paladin shares.
• Directors and members of senior management of Fission holding 0.7% of the outstanding shares have entered into voting support arrangements with Paladin.
• The transaction is targeted to close in the September 2024 quarter, subject to satisfaction of all conditions under the agreement.

Statistics:

• Implied value of C$1.30 per Fission share
• 25.8% premium to the closing price of the Fission Shares on the TSX on June 21, 2024
• 30.0% premium to the 20-day VWAP of the Fission Shares on June 21, 2024
• Pro-forma market capitalization of approximately US$3.5 billion
• 80.0% of Paladin's issued and outstanding share capital to be voting in favor of the transaction (based on Fission shareholders' ownership)

Sources:

• Paladin Energy Limited news release
• Fission Uranium Corp. news release